(1) Part 6 of the Principal Act is amended -

(a) in section 172A(1)(a), by the insertion of the following definitions:

"'equivalent partnership' means a partnership which would be an investment limited partnership but for the fact that it is authorised by an EEA state other than the State and is subject to such supervisory and regulatory arrangements in the EEA state by which it is authorised at least equivalent to those applied to an investment limited partnership;

'investment limited partnership' means a partnership authorised in accordance with the Investment Limited Partnerships Act 1994;",

and

(b) in section 172C -

(i) in subsection (2), by the insertion of the following paragraph after paragraph (db):

"(dc) subject to subsection (4), an investment limited partnership or equivalent partnership, as the case may be, where -

(i) the partners of the investment limited partnership or equivalent partnership are beneficially entitled to not less than 51 per cent of the ordinary share capital of the company making the relevant distribution,

(ii) the ordinary share capital of the company making the relevant distribution is an asset of that investment limited partnership or equivalent partnership, and