For clarification on accumulation funds in HS284

"If you receive notional distributions which are subject to Income Tax, you’re allowed the amount of these distributions as additional expenditure on your accumulation units." The above is an excerpt from HS284 for accumulation funds... May I clarify with HMRC whether my understanding below is correct? 1) For notional distributions from an offshore accumulating ETF, they are subject to Income Tax as dividends and to be parked under "Dividends from foreign companies" in SA106. They are not parked as "Interest and other income from overseas savings" in SA106. 2) After putting the notional distributions as Dividend Income in SA106, I am entitled to increase my total cost for the accumulating ETF. As a result, the capital gain tax incurred when I sell the ETF in the future will be reduced. Thank you.

Hi,
1. The tax and capital gains liabilities of ETF's are based on their asset class.  
Bonds are taxed as interest, Equities as dividends and commodities soley as capital gains tax.  All 3 are subject to capital gains tax.      
2 If you meet the conditions mentioned at s6 then yes.
Thank you.