arrangements having effect under Section 50 of this Ordinance
shall not exceed the total income tax payable by him for that
year of assessment, less any tax payable by him under the
provisions of Section of this ordinance.
(5) In computing
amount of the income
77
(a) no deduction shall be allowed in respect of
foreign tax (whether in respect of the same or any other income);
(b) where the income tax chargeable depends on the
amount received in
Colony, the said amount shall be increased
by the appropriate amount of the foreign tax in respect of the
income;
(c) where the income includes
dividend and under
the arrangements foreign tax not chargeable directly or by
deduction in respect of the dividend is to be taken into
account in considering whether any, and if so what, credit is
to be given against income tax in respect of the dividend
amount of the income shall be increased by the amount of the
foreign tax not so chargeable which falla to be taken into
account in computing the amount of the credit;
but notwithstanding anything in the preceding provisions of this
subsection a deduction shall be allowed of any amount by
foreign tax in respect of the income exceeds the credit
therefor.
(6) Paragraphs (a) and (b) of the preceding subsection
(but not the remainder thereof) shall apply the computation of
total income for the purposes of determining the rate mentioned
in subsection (3) of this Section, and shall apply there to in
relation to all income in the case of which credit falls to be
gåven for foreign tax under arrangements for the time being
in force under Section 50 of this Ordinance.
(7) there
(a) the arrangements provide, in relation to
dividends of some classes, but not in relation to dividends of
other classes, that foreign tax not chargeable directly or
by deduction in respect of dividends is to be taken into
account in considering whether any, and if so, what, credit