(1)     For purposes of this paragraph,

 

“active business asset” means –

 

(a)     an asset which constitutes immovable property, to the extent that it is used for business purposes; or

 

(b)     an asset (other than immovable property) used or held wholly and exclusively for business purposes, but excludes –

 

(i)      a financial instrument; and

 

(ii)     an asset held in the course of, carrying on a business mainly to derive any income in the form of an annuity, rental income, a foreign exchange gain or royalty or any income of a similar nature;