Statement by the Delegation of Ukraine on the situation in and around Ukraine
Income tax is charged for the tax year 2007-08; and for that tax year—
the starting rate is 10%,
the basic rate is 22%, and
the higher rate is 40%.
Corporation tax is charged for the financial year 2008; and for that year the rate of corporation tax is—
28% on profits of companies other than ring fence profits, and
30% on ring fence profits of companies.
In this section “ring fence profits” has the same meaning as in Chapter 5 of Part 12 of ICTA (see section 502(1) and (1A)).
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For the financial year 2007 the small companies' rate is—
20% on profits of companies other than ring fence profits, and
19% on ring fence profits of companies.
For the financial year 2007 the fraction mentioned in section 13(2) of ICTA is—
1/40th in relation to profits of companies other than ring fence profits (“the standard fraction”), and
11/400ths in relation to ring fence profits of companies (“the ring fence fraction”).
If— that subsection applies with the following modification.
a company makes a claim under subsection (2) of section 13 of ICTA in respect of any accounting period any part of which falls in the financial year 2007, and
its profits for that accounting period consist of both ring fence profits and other profits,
The corporation tax charged on its basic profits for that period is reduced by the aggregate of—
the sum equal to the ring fence fraction of the ring fence amount, and
the sum equal to the standard fraction of the remaining amount.
For the purposes of subsection (4)(a) “the ring fence amount” is the amount given by the formula— where— MR is the sum equal to the appropriate fraction of the upper relevant maximum amount, PR is so much of the profits for the accounting period as consist of ring fence profits, and IR is so much of the basic profits for that period as consist of ring fence profits, and the appropriate fraction is the fraction of the profits for the accounting period that consist of ring fence profits.
For the purposes of subsection (4)(b) “the remaining amount” is the amount given by the formula— where— MNR is the sum equal to the appropriate fraction of the upper relevant maximum amount, PNR is so much of the profits for the accounting period as do not consist of ring fence profits, and INR is so much of the basic profits for that period as do not consist of ring fence profits, and the appropriate fraction is the fraction of the profits for the accounting period that do not consist of ring fence profits.
In this section “ring fence profits” has the same meaning as in Chapter 5 of Part 12 of ICTA (see section 502(1) and (1A)).
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Portion of value Rate of tax Lower limit (£) Upper limit (£) Per cent. 0 350,000 Nil 350,000 — 40
The amendment made by subsection (1) has effect in relation to chargeable transfers made on or after 6th April 2010.
That amendment does not affect the application of section 8 of IHTA 1984 (indexation) by virtue of the difference between the retail prices index for September 2009, or September in any later year, and that for September in the following year.
But that section does not have effect by virtue of the difference between the retail prices index for September 2008 and that for September 2009.
The Alcoholic Liquor Duties Act 1979 (c. 4) is amended as follows.
In section 36(1AA)(a) (standard rate of duty on beer), for “£13.26” substitute “ £13.71 ”.
In section 62(1A) (rates of duty on cider)—
in paragraph (a) (rate of duty per hectolitre in the case of sparkling cider of a strength exceeding 5.5 per cent), for “£166.70” substitute “ £172.33 ”,
in paragraph (b) (rate of duty per hectolitre in the case of cider of a strength exceeding 7.5 per cent which is not sparkling cider), for “£38.43” substitute “ £39.73 ”, and
in paragraph (c) (rate of duty per hectolitre in any other case), for “£25.61” substitute “ £26.48 ”.
For Part 1 of the Table in Schedule 1 substitute—.
The amendments made by this section are deemed to have come into force on 26th March 2007.
1. Cigarettes An amount equal to 22 per cent of the retail price plus £108.65 per thousand cigarettes. 2. Cigars £158.24 per kilogram. 3. Hand-rolling tobacco £113.74 per kilogram. 4. Other smoking tobacco and chewing tobacco £69.57 per kilogram.
The amendment made by subsection (1) is deemed to have come into force at 6 p.m. on 21st March 2007.
Part of gross gaming yield Rate The first £1,836,500 15 per cent. The next £1,266,000 20 per cent. The next £2,217,500 30 per cent. The next £4,680,000 40 per cent. The remainder 50 per cent.
In section 11(3) of that Act, for “40 per cent” substitute “ 50 per cent ”.
The amendments made by this section have effect in relation to accounting periods beginning on or after 1st April 2007.
Schedule 1 contains amendments of and relating to Part 2 of BGDA 1981 (gaming duties) imposing a remote gaming duty.
The amendments made by Schedule 1 have effect in respect of the provision of facilities on or after a date appointed by the Commissioners for Her Majesty's Revenue and Customs by order made by statutory instrument.
Section 23 of BGDA 1981 (amount of duty payable on amusement machine licence) is amended as follows.
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After subsection (6) insert—
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The Hydrocarbon Oil Duties Act 1979 (c. 5) is amended as follows.
In section 6(1A) (hydrocarbon oil: rates of duty)—
in paragraph (a) (ultra low sulphur petrol), for “£0.4835” substitute “ £0.5035 ”,
in paragraph (aa) (sulphur-free petrol), for “£0.4835” substitute “ £0.5035 ”,
in paragraph (b) (light oil other than ultra low sulphur petrol and sulphur-free petrol), for “£0.5768” substitute “ £0.6007 ”,
in paragraph (c) (ultra low sulphur diesel), for “£0.4835” substitute “ £0.5035 ”,
in paragraph (ca) (sulphur-free diesel), for “£0.4835” substitute “ £0.5035 ”, and
in paragraph (d) (heavy oil other than ultra low sulphur diesel and sulphur-free diesel), for “£0.5468” substitute “ £0.5694 ”.
In section 6AA(3) (biodiesel), for “£0.2835” substitute “ £0.3035 ”.
In section 6AD(3) (bioethanol), for “£0.2835” substitute “ £0.3035 ”.
In section 8(3) (road fuel gas)—
in paragraph (a) (natural road fuel gas), for “£0.1081” substitute “ £0.1370 ”, and
in paragraph (b) (other road fuel gas), for “£0.1221” substitute “ £0.1649 ”.
In section 11(1) (rebate on heavy oil)—
in paragraph (a) (fuel oil), for “£0.0729” substitute “ £0.0929 ”,
in paragraph (b) (gas oil which is not ultra low sulphur diesel), for “£0.0769” substitute “ £0.0969 ”, and
in paragraph (ba) (ultra low sulphur diesel), for “£0.0769” substitute “ £0.0969 ”.
In section 13A(1) (rebate on unleaded petrol), for “£0.0617” substitute “ £0.0642 ”.
In section 14(1) (rebate on light oil for use as furnace oil), for “£0.0729” substitute “ £0.0929 ”.
The amendments made by this section come into force on 1st October 2007.
Schedule 1 to VERA 1994 (annual rates of duty) is amended as follows.
In paragraph 1 (general)—
in sub-paragraph (2) (vehicle not covered elsewhere in Schedule otherwise than with engine cylinder capacity not exceeding 1,549cc), for “£175” substitute “ £180 ”, and
in sub-paragraph (2A) (vehicle not covered elsewhere in Schedule with engine cylinder capacity not exceeding 1,549cc), for “£110” substitute “ £115 ”.
Paragraph 1B (graduated rates for light passenger vehicles) is amended as follows.
For the words from “Table A” to “date,” substitute “ the following table ”.
CO2 emissions figure Rate (1) (2) (3) (4) Exceeding Not exceeding Reduced rate Standard rate g/km g/km £ £ 100 120 15 35 120 150 95 115 150 165 120 140 165 185 145 165 185 225 190 205 225 285 300 The table has effect in relation to vehicles first registered before 23rd March 2006 as if— .
For Tables A and B substitute—
For paragraphs 1D and 1E substitute—
In paragraph 1J (light goods vehicles)—
in sub-paragraph (a) (vehicle which is not lower-emission van), for “£170” substitute “ £175 ”, and
in sub-paragraph (b) (lower-emission van), for “£110” substitute “ £115 ”.
In paragraph 2(1) (motorcycles)—
in paragraph (b) (motorbicycle and engine's cylinder capacity more than 150cc but not more than 400cc), for “£31” substitute “ £32 ”,
in paragraph (c) (motorbicycle and engine's cylinder capacity more than 400cc but not more than 600cc), for “£46” substitute “ £47 ”, and
in paragraph (d) (any other case), for “£62” substitute “ £64 ”.
The amendments made by this section have effect in relation to licences taken out on or after 22nd March 2007.
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Section 30 of FA 1994 (rates of air passenger duty) is amended as follows.
In subsection (3A) (destinations in EEA States and qualifying territories etc)—
in paragraph (a) (standard class travel), for “£5” substitute “£10”, and
in paragraph (b) (any other case), for “£10” substitute “£20”.
In subsection (4) (other destinations)—
in paragraph (a) (standard class travel), for “£20” substitute “£40”, and
in paragraph (b) (any other case), for “£40” substitute “£80”.
The amendments made by this section have effect in relation to any carriage of a passenger on an aircraft which begins on or after 1st February 2007.
But if the amount of duty due from any operator in the accounting period ending before 21st March 2007 increased as a result of those amendments, the operator is to pay the amount of that increase as if it became due in the first accounting period ending after that day.
Expressions which are used in subsection (5) and in the Air Passenger Duty Regulations 1994 (S.I. 1994/1738) have the same meaning in that subsection as in those regulations.
Taxable commodity supplied Rate at which levy payable if supply is not a reduced-rate supply Electricity £0.00456 per kilowatt hour Gas supplied by a gas utility or any gas supplied in a gaseous state that is of a kind supplied by a gas utility £0.00159 per kilowatt hour Any petroleum gas, or other gaseous hydrocarbon, supplied in a liquid state £0.01018 per kilogram Any other taxable commodity £0.01242 per kilogram
The amendment made by subsection (1) has effect in relation to supplies treated as taking place on or after 1st April 2008.
In section 16(4) of FA 2001 (rate of aggregates levy), for “£1.60” substitute “ £1.95 ”.
The amendment made by subsection (1) has effect in relation to aggregate subjected to commercial exploitation on or after 1st April 2008.
Section 42 of FA 1996 (amount of landfill tax) is amended as follows.
In— for “£21” substitute “ £24 ”.
subsection (1)(a) (the standard rate), and
subsection (2) (reference to the standard rate taken to be £2 in cases of disposals of qualifying material),
The amendments made by subsection (2) have effect in relation to disposals made (or treated as made) on or after 1st April 2007 (but before 1st April 2008).
In subsection (1)(a), for “£24” substitute “ £32 ” and, in subsection (2), for “£24 were to £2” substitute “ £32 were to £2.50 ”.
The amendments made by subsection (4) come into force on 1st April 2008 and have effect in relation to disposals made (or treated as made) on or after that date.
The Treasury may impose charges by providing for Community tradeable emissions allowances to be allocated in return for payment.
The Treasury must by regulations make provision for and in connection with allocations of allowances in return for payment.
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The regulations may make any other provision about allocations which the Treasury consider appropriate, including (in particular)—
provision as to the imposition of fees, and as to the making and forfeiting of deposits, in connection with participation in allocations,
provision as to the persons by whom allocations are to be conducted,
provision for the creation of criminal offences, or for the imposition and recovery of civil penalties, for failure to comply with the terms of a scheme made under subsection (5),
provision for and in connection with the recovery of payments due in respect of allowances allocated (including provision as to the imposition and recovery of interest and penalties), and
provision conferring rights of appeal against decisions made in allocations, the forfeiting of deposits and the imposition of penalties (including provision specifying the person, court or tribunal to hear and determine appeals).
The Treasury may make schemes about the conduct and terms of allocations (to have effect subject to any regulations under this section); and schemes may in particular include provision about—
who may participate in allocations,
the allowances to be allocated, and
where and when allocations are to take place.
“Community tradeable emissions allowances” are transferable allowances which— and “greenhouse gases” means carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons and sulphur hexafluoride.
relate to the making of emissions of greenhouse gases, and
are allocated as part of a system made for the purpose of implementing any EU obligation of the United Kingdom relating to such emissions;
Subsection (4)(c) does not permit the creation of a criminal offence with maximum penalties in excess of the maximum penalties which an instrument under section 2(2) of the European Communities Act 1972 may provide in respect of an offence created by such an instrument.
Regulations under this section are to be made by statutory instrument.
A statutory instrument containing regulations under this section is subject to annulment in pursuance of a resolution of the House of Commons unless a draft of the regulations has been laid before, and approved by a resolution of, that House.
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In ICTA, after section 31 insert—
The amendment made by subsection (1) has effect in relation to expenditure incurred on or after such day as the Treasury may by order appoint.
Section 312 of ITTOIA 2005 (deduction for expenditure on energy-saving items) is amended as follows.
In subsection (1)(b) (expenditure incurred in acquiring and installing energy-saving item in dwelling-house), for “in the dwelling-house an energy-saving item” substitute “ an energy-saving item in the dwelling-house or in a building containing the dwelling-house ”.
In subsection (1)(c) (expenditure incurred before 6th April 2009), for “2009” substitute “ 2015 ”.
In section 313 of that Act (restrictions on relief), insert at the end—
In section 314 of that Act (regulations), insert at the end—
The amendments made by subsections (2) and (4) have effect in relation to expenditure incurred on or after 6th April 2007.
The amendment made by subsection (5) is deemed always to have had effect.
Regulations under section 314 of ITTOIA 2005 made on or after the day on which this Act is passed but before 31st December 2007 may include provision having effect in relation to expenditure incurred on or after 6th April 2007.
In FA 2003, after section 58A insert—
In section 114 of FA 2003 (stamp duty land tax: orders and regulations), insert at the end—
In ITTOIA 2005, after section 782 insert—
The amendment made by subsection (1) has effect for the tax year 2007-08 and subsequent tax years.
In ITTOIA 2005, after section 782A (inserted by section 20) insert—
In TCGA 1992, after section 263 insert—
The amendment made by subsection (1) has effect for the tax year 2007-08 and subsequent tax years.
The amendment made by subsection (2) has effect in relation to disposals on or after 6th April 2007.
Section 17(3) of FA 2001 (exempt aggregate) is amended as follows.
Omit “or” at the end of paragraph (d).
After that paragraph insert—.
Insert “ or ” at the end of paragraph (e).
The amendment made by subsection (3) comes into force on such day as the Treasury may by order made by statutory instrument appoint.
Schedule 2 contains amendments of Schedule 6 to FA 2000 in relation to reduced-rate supplies and other matters.
In section 53(4) of FA 1996 (credit: bodies concerned with the environment), after paragraph (c) insert—.
The amendment made by subsection (1) is deemed to have come into force on 22nd March 2007.
Schedule 3 contains provision about managed service companies.
That Schedule is deemed to have come into force on 6th April 2007.
Schedule 4 contains provision restricting reliefs for losses made by individuals carrying on trades in partnership.
TCGA 1992 is amended as follows.
In section 8 (company's total profits to include chargeable gains)—
in subsection (2), for the words from “does not include—” to the end substitute “ does not include a loss accruing to a company in such circumstances that if a gain accrued the company would be exempt from corporation tax in respect of it. ”, and
omit subsections (2A) to (2C).
After section 16 insert—
In section 288(1) (interpretation), in the definition of “allowable loss”, after “16” insert “ , 16A ”.
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The amendments made by this section have effect in relation to losses accruing on disposals made on or after 6th December 2006.
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Section 75 of ICTA (expenses of management: companies with investment business) is amended as follows.
After subsection (2) insert—
After subsection (5) insert—
After subsection (10) insert—
The amendments made by this section have effect in relation to accounting periods beginning on or after 20th June 2007, but have no effect in any case where the particular management expenses in question were paid before that date.
In the case of an accounting period of a company beginning before, and ending on or after, that date, those amendments have effect as if, for determining the amounts that are deductible for the period under section 75(1) of ICTA, so much of the period as falls before that date, and the rest of it, were separate accounting periods.
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In section 552 of that Act (information: duty of insurers), after subsection (12) insert—
In ITTOIA 2005, after section 541 insert—
The amendments made by this section have effect in relation to a policy or contract if—
it is made on or after 21st March 2007, or
on or after that date, any of its terms are varied, or a right under it is exercised, so as to increase the benefits under it.
Schedule 5 contains provision in relation to tax avoidance involving financial arrangements.
Schedule 6 contains provision in relation to companies carrying on a business of leasing plant or machinery.
TCGA 1992 is amended as follows.
In section 184A(2) (losses accruing on disposals of pre-change assets not deductible from gains unless gains accrue on disposals of pre-change assets), omit “unless the gains accrue to the company on a disposal of a pre-change asset”.
In section 184B(2) (losses not deductible from gains accruing on disposals of pre-change assets unless losses accrue on disposals of pre-change assets), omit “unless the loss accrues to the company on a disposal of a pre-change asset”.
Section 70 of FA 2006 (which inserted sections 184A to 184F of TCGA 1992) is amended as follows.
In subsection (9) (special provision for qualifying changes of ownership and disposals before 5th December 2005)—
for “The following subsection applies” substitute “ Subsections (10) to (12) apply ”,
in paragraph (a), omit “or 184B”,
in paragraph (c), for “at all subsequent times,” substitute “ immediately afterwards, ”,
after that paragraph insert—,
omit paragraph (d) (together with the “and” following it), and
in paragraph (e), omit “, or a qualifying gain for the purposes of section 184B of that Act,”.
For subsections (10) and (11) substitute—
The amendment made by subsection (2) has effect in relation to gains accruing on disposals made on or after 21st March 2007.
The amendment made by subsection (3) has effect in relation to losses accruing on disposals made on or after that date.
The amendments made by subsections (5) and (6) have effect in relation to disposals made on or after that date; but the amendment made by subsection (5)(d) has no effect in relation to disposals made before 9th May 2007.
In FA 1994, after section 227 insert—
The amendment made by subsection (1) has effect in relation to any case where the corporate member (as the surrendering company) and the other company (as the claimant company) first meet the conditions in section 402(2) or (3) of ICTA on or after 21st March 2007.
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in sub-paragraphs (1) and (2), for “the third party” (in both places) substitute “a scheme manager”, and
in sub-paragraph (3), for “third party” substitute “scheme manager”.
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“scheme manager” means a person who administers an employee benefit scheme (acting in that capacity);
omit the definition of “the third party”.
Part 2 of ITTOIA 2005 (trading income) is amended as follows.
In section 38 (restriction of deductions for employee benefit contributions), for subsection (1) substitute—
In section 39 (making of “employee benefit contributions), for subsection (1) substitute—
In section 41 (timing and amount of certain benefits), for “the third party” (in both places) substitute “ a scheme manager ”.
In section 42 (provision or payment out of employee benefit contributions)—
in subsection (1), for “the third party”, in the first place, substitute “ a scheme manager ” and, in the second place, substitute “ the scheme manager ”,
in subsection (3), for “the third party”, in the first place, substitute “ a scheme manager ” and, in the second place, substitute “ the scheme manager ”, and
in subsection (5), for “third party” substitute “ scheme manager ”.
“scheme manager” means a person who administers an employee benefit scheme (acting in that capacity).
The amendments made by this section have effect in relation to employee benefit contributions made on or after 21st March 2007.
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Section 804ZA of ICTA (schemes and arrangements designed to increase relief) is amended as follows.
In subsection (8)(c), omit “resident in a territory outside the United Kingdom”.
After subsection (11) insert—
The amendments made by this section have effect in relation to a credit for foreign tax which relates to— but see also subsections (6) and (7).
a payment of foreign tax on or after 6th December 2006, or
income received on or after that date in respect of which foreign tax has been deducted at source,
In subsection (4)—
references to foreign tax are to be construed in accordance with section 804ZA(11A) of ICTA (as inserted by subsection (3) above), and
the reference to tax deducted at source is to tax deducted (or treated as deducted) from income or treated as paid in respect of income.
The DTR anti-avoidance provisions have effect in relation to any action (or failure to act) that occurs under any scheme or arrangement on or after 6th December 2006 (as well as in relation to the cases mentioned in section 87(3) of FA 2005 or subsection (4) above).
“The DTR anti-avoidance provisions” means section 804ZA of ICTA (as amended by this section), sections 804ZB and 80ZC of that Act and Schedule 28AB to that Act.
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No balancing adjustment is to be made under Part 3 of CAA 2001 (industrial buildings allowances) if— and in paragraph (b) “post-commencement balancing event” means any balancing event for the purposes of that Part which occurs on or after 21st March 2007, but does not include an event which occurs before 1st April 2011 in pursuance of a relevant pre-commencement contract (see subsection (7)).
the qualifying expenditure in question is not qualifying enterprise zone expenditure for the purposes of that Part, and
the balancing event in question is a post-commencement balancing event,
For the purposes of section 311 of that Act (calculation of allowance after sale of relevant interest) the amount of the residue of qualifying expenditure immediately after a post-commencement relevant event is taken to be the amount of the residue of qualifying expenditure immediately before that event.
In subsection (2)—
In section 83ZA(4) of FA 1989 (contingent loans), for “the end of the” substitute “any time during a”.
“fair value”, in relation to assets, means the amount which would be obtained from an independent person purchasing them or, if the assets are money, its amount; In section 440 of ICTA (transfer of assets etc)— Omit—
Omit the following provisions (which are obsolete or of limited value). In the Table in section 98 of TMA 1970, the words “or 441A(3)” in both columns. In ICTA— In FA 1989— In FA 1996— Paragraph 18 of Schedule 12 to FA 1997 (leasing arrangements: meaning of “accounting purposes” for insurance companies). Paragraph 86 of Schedule 18 to FA 1998 (non-annual actuarial investigations). Paragraph 4 of Schedule 6 to FA 1999 (reverse premiums etc). Section 87(3) and (4) of FA 2001 (tax credits etc). In Schedule 13 to FA 2002 (vaccine research), paragraphs 22, 23 and 25(3), and, in paragraph 27, the definition of “life assurance business”.
Section 83 of FA 1989 (receipts to be taken into account) is amended as follows. After subsection (2) insert— In subsection (2A), after paragraph (aa) insert—. Omit—
The repeals made by Schedule 3 to ITA 2007 in paragraph 11 of Schedule 6 to FA 1990 are deemed never to have had effect; but Schedule 3 to ITA 2007 is deemed to have included the repeal of the words before the paragraphs in sub-paragraph (1) of that paragraph.
This paragraph applies if an officer of Revenue and Customs gives a notice of enquiry under paragraph 24(1) of Schedule 18 to FA 1998 to a general insurer. The officer may by notice require the general insurer (at the general insurer’s own expense) to provide the officer with a report as to whether (and, if so, the extent to which) the amount of any technical provisions stated in the accounts for any period covered by the company tax return into which the enquiry is made exceeds the appropriate amount. The report must cover such matters, and be in such form, as the officer may reasonably require for the purposes of the enquiry. The report must be made by a person who is appointed by the general insurer unless the officer requires the report to be made instead by another person. As soon as the general insurer appoints a person to make the report, the general insurer must give a notice to the officer specifying that person. A notice under sub-paragraph (2) must specify the time (which must not be less than 30 days) within which the general insurer is to comply with it. The following provisions of Schedule 18 to FA 1998— apply in relation to any notice under sub-paragraph (2) as they apply in relation to a notice under paragraph 27 of that Schedule. But the references in paragraph 28 of that Schedule to the provision of information are to be construed as references to the provision of a report under this paragraph.
Paragraphs 1 to 3 have effect in relation to periods of account ending on or after the day on which this Act is passed. The repeal of section 107 of FA 2000 made by paragraph 4 has effect as follows. The repeal of— has effect in relation to any amount that would otherwise have been treated as a receipt or an expense of a trade in computing for tax purposes the profits of the trade for any period of account ending on or after the day on which this Act is passed. The repeal of— has effect so that no election may be made under that subsection in respect of technical provisions made by a general insurer for any period of account which begins on or after that day. There is a restriction in relation to any election made by a general insurer under that subsection in respect of technical provisions made by the general insurer for the final election period. The restriction is that the amount of the part of those provisions which the general insurer elects not to be taken into account in computing for tax purposes the profits of the general insurer’s trade for that period must not exceed 10% of the total amount of those provisions. In sub-paragraph (5) “the final election period”, in relation to any general insurer, means the general insurer’s first period of account ending on or after the day on which this Act is passed.
In Part 5 of ITA 2007 (enterprise investment scheme), in section 251(1)(c) (approved investment fund as nominee), for “6” substitute “12”. The amendment made by this paragraph has effect in relation to approved funds which closed or close on or after 7 October 2006.
For section 1005 of ITA 2007 substitute—
In ITTOIA 2005, after section 164 insert—
Schedule 10 to FA 2006 (sale etc of lessor companies etc) is amended as follows. In paragraph 1(4) (contents of Schedule), for “an anti-avoidance provision” substitute “anti-avoidance provisions”. In— for “it transfers” substitute “is transferred”. After paragraph 38 insert— For the purposes of Schedule 10 to FA 2006 the amendments made by sub-paragraphs (3) and (4) have effect in relation to— For all other purposes those amendments have effect for the purpose of determining whether a company carries on a business of leasing plant or machinery (whether alone or in partnership) on or after that date.
For section 841 of ICTA substitute—
In section 288 of TCGA 1992 (interpretation), after subsection (5) insert—
In relation to contributions under any occupational pension scheme, the amendments made by this Schedule have effect in relation to contributions paid on or after 1st August 2007. But they do not have effect in relation to such contributions paid at any time if the contributions are treated as paid in respect of premiums under a policy of insurance which at that time is a protected policy (see paragraph 7).
After section 181 insert—
Schedule 34 (non-UK schemes application of certain charges) is amended as follows. In paragraph 1(6), omit the words from “but also” to the end. In paragraph 4(3), omit the words from “but also” to the end. After paragraph 7 insert—
In section 165(1) (pension rules) is amended as follows. In pension rule 2 (guaranteed pensions)— In pension rule 7 (maximum alternatively secured pension), for “70%” substitute “90%”.
The amendments made by paragraphs 2(2) and 3 have effect in relation to deaths of members of registered pension schemes occurring on or after 6th April 2007. The amendments made by paragraphs 2(3), 4, 14 and 15 have effect for alternatively secured pension years beginning on or after 6th April 2007. The amendments made by paragraphs 5 to 10, 18(2) and (3) and 28 have effect in relation to lump sum death benefits paid in respect of members of schemes whose deaths occur on or after 6th April 2007. The amendments made by paragraphs 11, 12(5) and 16(2), (4) and (6) are deemed to have come into force on 6th April 2006. The amendments made by paragraphs 12(2) and 13 have effect in relation to members of registered pension schemes becoming entitled to alternatively secured rights on or after 6th April 2007 in respect of members whose deaths occur on or after that date. The amendments made by paragraph 16(3) and (5) have effect in relation to charity lump sum death benefits paid on or after 6th April 2007. The amendment made by paragraph 17 is deemed to have come into force on 6th April 2007. The amendments made by paragraphs 19 to 27 have effect in relation to deaths, cases where scheme administrators become aware of deaths and cessations of dependency occurring on or after 6th April 2007.
Part 3 of the Criminal Law (Consolidation) (Scotland) Act 1995 is amended as follows.
Inaccuracy in a document given by P to HMRC is— An inaccuracy in a document given by P to HMRC, which was neither careless nor deliberate when the document was given, is to be treated as careless if P—
a lottery if the profits are applied solely to the charitable company’s purposes and—
“gaming” means playing a game of chance for a prize within the meaning of Group 4 of Schedule 9 to the Value Added Tax Act 1994;
In section 37 (disclosure of information to or by the Gaming Board for Great Britain etc)—
in subsection (1), for “Gaming Board for Great Britain” substitute “Gambling Commission” and for “or Gaming Board” (in both places) substitute “or Gambling Commission”, and
in subsection (2), for “Gaming Board for Great Britain” substitute “Gambling Commission” and for “or Gaming Board” substitute “or Gambling Commission”.
Section 3 (bookmakers: spread bets) is amended as follows. In subsection (1), omit paragraph (b) (together with the “and” before it). For subsection (2) substitute—
Section 12(4) (definitions for purposes of Part 1) is amended as follows. In the definition of “betting office licence”, omit paragraph (a) (together with the “and” following it). In the definition of “bookmaker’s permit”, omit paragraph (a) (together with the “and” following it). “general betting operating licence” has the same meaning as in Part 5 of the Gambling Act 2005 (see section 65(2)(c)); Omit the definitions of “meeting”, “totalisator” and “track”.
FA 1989 is amended as follows.
In F(No.2)A 1992, omit section 65 (life assurance business: I minus E basis).
CAA 2001 is amended as follows.
This paragraph specifies when a policy of insurance is a protected policy in a case where the rights under it are held for the purposes of an occupational pension scheme. A policy of insurance within sub-paragraph (3) or (4) is a protected policy but only until a relevant event occurs (see sub-paragraphs (5) to (7)). A policy of insurance is within this sub-paragraph if— A policy of insurance is within this sub-paragraph if— For the purposes of sub-paragraph (2) a “relevant event” occurs if, after the relevant time, the terms of the policy are varied so as to— “The relevant time”— A variation of the terms of a policy made in order to comply with the Employment Equality (Age) Regulations 2006 (S.I. 2006/1031) or Employment Equality (Age) Regulations (Northern Ireland) 2006 (S.R. 2006/261) (or any regulations amending or replacing them) is to be ignored for the purposes of sub-paragraph (5).
In section 241(1) (scheme chargeable payment), after paragraph (a) insert—.
In paragraph 12 of Schedule 28 (pension rules: alternatively secured pension year), omit sub-paragraphs (3) and (4) (guaranteed pensions).
The heading to that Part becomes “Investigation of Revenue and Customs offences”.
In section 83(6)(c) (receipts to be taken into account), for the words from “the reinsurer” to the end substitute “section 431G(3)(a) of the Taxes Act 1988 (pure reinsurance) applies to the reinsurer under the contract for the accounting period of the reinsurer during which the transfer of business occurs”.
In section 256(1) (different giving effect rules for different categories of business), for paragraph (b) substitute—
At the beginning of that Part insert—
In subsection (1) of section 85 (charge of certain receipts of BLAGAB)—
for “the profits of an insurance company in respect of its life assurance business are not charged under Case I of Schedule D” substitute “an insurance company is charged to tax under the I minus E basis in respect of its life assurance business”, and
for “those profits” substitute “the profits of the life assurance business”.
In section 257(2) (life assurance: supplementary), for paragraphs (a) and (b) substitute—
In section 24 (detention and questioning by customs officers)—
in subsection (1)—
for “an offence punishable by imprisonment relating to an assigned matter” substitute “a Revenue and Customs offence punishable by imprisonment”,
for “a customs office” substitute “an office of Revenue and Customs”, and
for “customs office”, in the second place, substitute “office of Revenue and Customs”,
in subsection (5), for “customs office” (in both places) substitute “office of Revenue and Customs”,
in subsection (8)—
for “his name and address” substitute “the information mentioned in subsection (8A) below”, and
for “customs office” substitute “office of Revenue and Customs”,
after that subsection insert—,
omit subsection (9), and
the heading accordingly becomes “Detention and questioning at office of Revenue and Customs”.
After that section insert—
In section 25(1) (right to have someone informed of the fact of detention)—
for “a customs office” substitute “an office of Revenue and Customs”, and
for “customs office”, in the second and third places, substitute “office of Revenue and Customs”.
Section 88 (policy holders' fraction of profits) is amended as follows. Omit subsection (2). In subsection (3)(a), for “basic” substitute “expenses”.
In section 26 (detention in connection with drug smuggling offences), for “a customs office” (in both places) substitute “an office of Revenue and Customs”.
Section 89 (policy holders' share of profits) is amended as follows. In subsection (1B)(b), for “basic” substitute “expenses”. In subsection (7), for the words after “Schedule D” substitute “; but for the purposes of subsections (1), (1A) and (2) they are to be adjusted in respect of losses in accordance with section 85A(4).”
After that section insert—
No balancing adjustment is to be made under Part 4 of that Act (agricultural buildings allowances) if the balancing event in question is a post-commencement balancing event.
For the purposes of section 376 of that Act (calculation of allowance after acquisition) the amount of the residue of qualifying expenditure immediately after a post-commencement balancing event is taken to be the amount of the residue of qualifying expenditure immediately before that event.
In subsections (4) and (5) “post-commencement balancing event” means any balancing event under section 381 of that Act (as a result of an election made in accordance with section 382 of that Act) which occurs on or after 21st March 2007, but does not include an event which occurs before 1st April 2011 in pursuance of a relevant pre-commencement contract.
For the purposes of this section a contract is “a relevant pre-commencement contract” if—
the contract is a contract in writing made before 21st March 2007,
the contract is unconditional or its conditions have been satisfied before that date,
no terms remain to be agreed on or after that date, and
the contract is not varied in a significant way on or after that date.
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The amount of a first-year allowance under section 44 of CAA 2001 (expenditure incurred by small or medium-sized enterprises) is to be determined, in the case of expenditure to which this subsection applies, as if the percentage specified in the entry relating to that section in the Table in section 52(3) of that Act were 50%.
Subsection (1) applies to expenditure incurred by a small enterprise (within the meaning of section 44 of that Act) in the period of 12 months beginning with—
1st April 2007, if the small enterprise is within the charge to corporation tax, or
6th April 2007, if the small enterprise is within the charge to income tax.
Accordingly, in section 52(3) of CAA 2001, in the sentence following the Table, insert at the end—
Part 1 of Schedule 7 contains provisions relating to gross roll-up business, capital redemption business and miscellaneous minor matters relating to insurance companies.
The amendments made by that Part of that Schedule have effect—
for the purposes of corporation tax, for periods of account of insurance companies beginning on or after 1st January 2007, and
for the purposes of income tax, for the tax year 2007-08 and subsequent tax years.
Subsection (2) is subject to the transitional provisions in Part 2 of that Schedule.
Part 1 of Schedule 8 contains provision about the basis of taxation of insurance companies and related matters.
The amendments made by that Part of that Schedule have effect for periods of account of insurance companies beginning on or after 1st January 2007.
Subsection (2) is subject to the transitional provisions in Part 2 of that Schedule.
Schedule 9 contains provision about transfers by insurance companies and related matters.
Schedule 10 contains miscellaneous provisions relating to insurance companies.
Schedule 11 contains provision in relation to technical provisions made by general insurers.
In FA 1994, after section 227A (inserted by section 33) insert—
The amendment made by subsection (1) has effect in any case where the first underwriting year in which profits or losses of the predecessor's final underwriting year are declared is 2007 or a later underwriting year.
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Section 462 of ICTA (conditions for tax exempt business) is amended as follows.
For subsection (1) substitute—
In subsection (2), for “under section 460(1) for profits arising from any part of a life or endowment” substitute “ in relation to profits arising from any part of a ”.
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The amendments made by this section are deemed to have come into force on 1st January 2007.
In section 437(1C) of ICTA (general annuity business), omit paragraphs (c)(i) and (d)(i).
In section 656 of that Act (purchased life annuities other than retirement annuities), omit subsections (5) and (6).
In section 658 of that Act (supplementary), omit subsections (1) and (4) to (6).
In section 828(4) of that Act (parliamentary procedure for orders and regulations), omit “658(3)”.
In section 717 of ITTOIA 2005 (exemption for part of purchased life annuity payment), omit subsection (3).
Omit section 723 of that Act (officer of Revenue and Customs to determine certain questions).
In section 724 of that Act (regulations)—
in subsection (1)(a), for “723” substitute “ 722 ”, and
omit subsection (2).
In section 873(3) of that Act (parliamentary procedure for orders and regulations), omit paragraph (b).
The amendments made by subsections (1) to (3) and (5) to (7) come into force on such day as the Treasury may by order appoint; and different days may be appointed for different purposes.
Schedule 13 contains provision for corporation tax purposes about the sale and repurchase of securities.
Schedule 14 contains minor and consequential amendments in relation to the sale and repurchase of securities.
The Treasury may by order make such other amendments (including repeals and revocations) of enactments or instruments as may appear appropriate in consequence of, or otherwise in connection with, those Schedules.
Schedule 13, and the amendments made by Schedule 14, have effect in accordance with provision made by the Treasury by order.
Any order under this section—
may make different provision for different purposes, and
may contain transitional provision and savings.
Schedule 15 contains provision in relation to controlled foreign companies.
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Part 2 of Schedule 13 to FA 2002 (manner of giving effect to vaccine research relief: small and medium-sized companies) is amended as follows.
The appropriate deduction is 50% of the qualifying expenditure.
In paragraph 15 (alternative treatment of pre-trading expenditure: deemed trading loss)—
in sub-paragraph (2)(b), for the words from “not” to the end substitute “non-Schedule 20 expenditure.”, and
Qualifying expenditure is “non-Schedule 20 expenditure” if the company is not entitled to relief under Schedule 20 to the Finance Act 2000 in respect of it.
The amount of the surrenderable loss is equal to the lower of A and B where— A is so much of the trading loss referred to in sub-paragraph (2) as is unrelieved, and B is— if paragraph 14 applies, the sum of the amount deductible under that paragraph and so much of the qualifying expenditure mentioned in that paragraph as is non-Schedule 20 expenditure; if paragraph 15 applies, the total deemed trading loss under that paragraph.
Paragraph 15(7) (meaning of “non-Schedule 20 expenditure”) applies for the purposes of sub-paragraph (3).
The amendments made by this section have effect in relation to expenditure incurred on or after 1st April 2007.
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In Part 1 of Schedule 20 to FA 2000 (entitlement to R&D tax relief), paragraph 2(1) (meaning of “small or medium-sized enterprise”) is amended as follows.
Qualification A1 In Article 2(1) of the Annex the references to 250 persons, 50 million euros and 43 million euros are to be read as references to 500 persons, 100 million euros and 86 million euros (respectively).
In Qualification 1—
after “micro, small or medium-sized enterprise” insert “(or would be if the Annex were read as set out in Qualification A1)”;
at the end insert “(read as set out in Qualification A1)”.
Part 2 of Schedule 13 to FA 2002 (giving effect to VRR tax relief) is amended as follows.
After paragraph 15 insert—
After paragraph 16 insert—
The amendments made by this section have effect in relation to expenditure incurred on or after such day as the Treasury may by order appoint.
A day before the day on which this Act is passed may be appointed, but not one before 1st April 2007.
For the purpose of determining, in relation to expenditure incurred on or after the appointed day, whether a company is a small or medium-sized enterprise, the amendments are to be treated as always having had effect.
Schedule 16 contains provision about venture capital schemes (and provision consequential on such provision).
Schedule 17 contains provisions about Real Estate Investment Trusts.
The amendments made by that Schedule have effect in respect of—
an accounting period, of a company to which Part 4 of FA 2006 (REITs) applies, which begins on or after 1st January 2007,
an accounting period, of the principal company of a group to which that Part applies, which begins on or after 1st January 2007, and
a distribution to which section 121 of FA 2006 applies and which is received on or after 1st January 2007.
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in subsection (1), after “47A,” insert “48A,”, and
in subsection (2), after paragraph (d) (before “or” at the end) insert—.
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in subsection (1), after “47A,” insert “48A,”,
in subsection (3), after “47A,” insert “48A,”, and
in subsection (4), for “or 47A” substitute “, 47A or 48A”.
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in subsection (1) (and in the heading), for “or 47A” substitute “, 47A or 48A”, and
in subsection (3), after “47A” insert “or 48A”.
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the existing provision becomes subsection (1),
after that subsection insert—, and
the heading accordingly becomes “Return not to be treated as distribution”.
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as if references to Chapter 5 of Part 2 of that Act were references to this section,
as if references to 6th April 2005 were references to—
1st April 2007 in relation to corporation tax, and
6th April 2007 in relation to income tax and capital gains tax, and
as if references to section 49 were references to sections 48A and 48B.
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for the purposes of income tax and capital gains tax in relation to the disposal after 6th April 2007 of arrangements to which new section 48A applies (whenever entered into) that section and new section 48B shall be treated as always having had effect, and
an order made after the passing of this Act under section 1005 of ITA 2007 (recognised stock exchanges: designation) and by virtue of new section 48A(3) may be expressed—
to have effect as from 1st April 2007 for the purposes of arrangements entered into on or after that date, and
for the purposes mentioned in paragraph (a), as always having had effect.
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In section 686A(2)(a) of ICTA (receipts to be treated as income subject to special rate of tax: payment by company), after “made” insert “ by way of qualifying distribution ”.
In Type 1(b) in section 482 of ITA 2007 (types of amount to be charged at special rates for trustees), after “made” insert “ by way of qualifying distribution ”.
The amendments made by this section have effect in respect of payments made to the trustees of a settlement on or after 6th April 2006.
Section 498 of ITA 2007 (trustees' tax pool) is amended as follows.
In subsection (1)—
in Type 1, for “2 or 3” substitute “ 2, 3 or 3A ”, and
after Type 3 insert—Type 3A The amount of tax at the nominal rate on any amount in respect of which—
After subsection (2) insert—
The amendments made by this section have effect in relation to gains arising to the trustees of a settlement on or after 6th April 2007.
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In section 756A of ICTA (definition of “offshore fund”), for subsection (3) substitute—
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In Schedule 27 to ICTA (distributing funds), in sub-paragraph (1)(c) of paragraph 6 (investments of offshore fund in other offshore funds which could, apart from that paragraph, be certified as distributing funds not to count towards limit in section 760(3)(a)), omit “without regard to the provisions of this paragraph,”.
In section 152 of ITA 2007 (losses from miscellaneous transactions), in subsection (8), insert at the end “ except that income on which income tax is charged under section 761(1)(b)(i) of ICTA is not “section 1016 income” for the purposes of subsection (2)(a) ”.
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The amendment made by subsection (4) has effect in relation to account periods (within the meaning of Chapter 5 of Part 17 of ICTA) beginning on or after 1st January 2007.
The amendment made by subsection (5) has effect in relation to transactions on or after 6th April 2007.
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An election under section 32(7) of the Finance Act 2006 (election not to be a film production company) can only be made by being included in a company tax return (see section 32(8)(a) of that Act).
Section 83 of FA 2005 (continued application of old UK GAAP to securitisation companies during transitional period) is amended as follows.
In subsection (1)(b) (old UK GAAP to apply to periods of account ending before 1st January 2008), insert at the beginning “ (subject to subsection (7A)(a)) ”.
After subsection (7) insert—
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In section 418 of ITA 2007 (donations to charity by individuals: limits)—
in subsection (2)(c), for “2.5%” substitute “ 5% ”, and
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in subsection (3B)(b), for “£250” substitute “£500”, and
in subsection (3DA)(c), for “2.5 per cent” substitute “5 per cent”.
The amendment made by subsection (1) has effect in relation to gifts made on or after 6th April 2007.
The amendment made by subsection (2) has effect in relation to gifts made in an accounting period ending on or after 6th April 2007.
In Part 3 of Schedule 5 to ITEPA 2003 (enterprise management incentives: qualifying companies), in paragraph 19 (excluded activities: receipt of royalties or licence fees)—
in sub-paragraph (4), for paragraphs (a) and (b) substitute—, and
after sub-paragraph (7) insert—
The amendments made by subsection (1) have effect in relation to options granted on or after 6th April 2007.
They also have effect in relation to a qualifying option within subsection (4), for the purpose of determining at any time on or after that date whether an activity is an excluded activity.
An option is within this subsection if it was granted before 6th April 2007 and, immediately before that date—
it had not been exercised, and
no disqualifying event had occurred in relation to it.
Subsection (6) applies in respect of an option within subsection (4) if—
immediately before 6th April 2007—
the right to exploit an intangible asset (“the asset”) was vested in the relevant company or a subsidiary of it (in either case, alone or jointly with others), and
the asset was a relevant intangible asset,
at any time on or after that date, an activity carried on by the relevant company or a subsidiary of it would be an excluded activity by reason only of the receipt of royalties or licence fees attributable to the exploitation of the asset, and
the activity would not be an excluded activity if the amendments made by subsection (1) had not been made.
The activity is to be treated, in relation to the option, as not being an excluded activity at that time.
In section 219 of ITEPA 2003 (exclusion of lower-paid employments from parts of benefits code: extra amounts to be added in connection with a car), omit subsections (5) and (6).
The repeal made by subsection (1) has effect for the tax year 2007-08 and subsequent tax years.
In section 411 of ITEPA 2003 (exception for payments and benefits for forces), the existing provision becomes subsection (1) and after that subsection insert—
The amendments made by subsection (1) have effect for the tax year 2006-07 and subsequent tax years.
In ITEPA 2003, after section 297 insert—
The amendment made by subsection (1) has effect in relation to payments whenever made.
Section 480 of ITA 2007 (meaning of “accumulated or discretionary income”) is amended as follows.
In subsection (3)(c) (income from service charges held on trust by relevant housing body), for the words after “charges” substitute “ which are paid in respect of dwellings in the United Kingdom and are held on trust. ”
For subsections (5) and (6) substitute—
The amendments made by this section have effect for the tax year 2007-08 and subsequent tax years.
The election must be made on or before—
The amendment made by subsection (1) is deemed to have come into force on 21st March 2007.
Section 31 of ITTOIA 2005 (relationship between rules prohibiting and allowing deductions: trading income) is amended as follows.
In subsection (1) (priority of relevant permissive rules over relevant prohibitive rules), in paragraph (b) (sections to which that priority rule is subject), for “sections 48 (car or motor cycle hire) and” substitute “ section 36 (unpaid remuneration), section 38 (employee benefit contributions), section 48 (car or motor cycle hire) and section ”.
In subsection (3) (meaning of “relevant prohibitive rule”), after “sections” insert “ 36, 38, ”.
Section 274 of ITTOIA 2005 (provision corresponding to section 31 of that Act in case of property income) is amended as follows.
In subsection (1)(b), for “sections 48 (car or motor cycle hire) and” substitute “ section 36 (unpaid remuneration), section 38 (employee benefit contributions), section 48 (car or motor cycle hire) and section ”.
In subsection (3), after “sections” insert “ 36, 38, ”.
The amendments made by this section have effect for the tax year 2007-08 and subsequent tax years.
Schedule 18 contains provisions denying relief for contributions made by or on behalf of members in respect of life assurance premiums.
Schedule 19 contains provisions about alternatively secured pensions and transfer lump sum death benefit etc.
Schedule 20 contains miscellaneous provisions about registered pension schemes and employer-financed retirement benefits schemes.
In FA 2003, after section 75 insert (in place of the section inserted by the Stamp Duty Land Tax (Variation of the Finance Act 2003) Regulations 2006 (S.I. 2006/ 3237))—
The amendment made by subsection (1) has effect in respect of disposals and acquisitions if the disposal mentioned in new section 75A(1)(a) (inserted by that subsection) takes place on or after 6th December 2006.
But—
the transitional provisions of sub-paragraphs (2) to (5) of paragraph 1 of the Schedule to the Stamp Duty Land Tax (Variation of the Finance Act 2003) Regulations 2006 (S.I. 2006/3237) continue to have effect in relation to this section as in relation to that paragraph, and
a provision of new section 75C (inserted by subsection (1) above) shall not have effect where the disposal mentioned in new section 75A(1)(a) took place before the day on which this Act is passed, if or in so far as the provision would make a person liable for a higher amount of tax than would have been charged in accordance with those regulations.
Schedule 15 to FA 2003 (stamp duty land tax: partnerships) is amended as follows.
A reference in this section to a provision of that Schedule is to the provision as it had effect before variation by the Stamp Duty Land Tax (Variation of the Finance Act 2003) Regulations 2006.
In Step Two of paragraph 12(1) (transfer to partnership: how to calculate the “sum of the lower proportions”)—
in paragraph (b), for “or is connected with the relevant owner” substitute “ or is an individual connected with the relevant owner ”, and
insert at the end— “ (If there is no relevant owner with a corresponding partner, the sum of the lower proportions is nil.) ”
In paragraph 12, after sub-paragraph (2) insert—
Omit paragraph 13 (transfer to partnership where all partners are companies).
In paragraph 14 (transfer of interest in property-investment partnership)— and in the italic cross-heading before it, omit “for consideration”.
omit sub-paragraphs (1)(b) and (4), and
insert at the end—,
In Step Two of paragraph 20(1) (transfer from partnership: how to calculate the “sum of the lower proportions”)—
in paragraph (b), for “or was connected with the relevant owner” substitute “ or was an individual connected with the relevant owner ”, and
insert at the end— “ (If there is no relevant owner with a corresponding partner, the sum of the lower proportions is nil.) ”
In paragraph 20, after sub-paragraph (2) insert—
After paragraph 27 insert—
For paragraph 36 substitute—
In paragraph 39 (“connected persons”), insert at the end—
In Schedule 16 to FA 2003 (trusts and powers)—
in paragraph 3(1) (bare trust), after “a chargeable interest” insert “ or an interest in a partnership ”, and
in paragraph 4 (trustees of settlement), after “a chargeable interest” insert “ or an interest in a partnership ”.
The amendments made by subsections (1) to (11) have effect in respect of transfers occurring on or after the day on which this Act is passed.
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the partnership does not acquire a chargeable interest on or after that day, and
stamp duty land tax was paid in respect of each chargeable interest acquired before that day, by reference to chargeable consideration of not less than the market value.
The amendment made by subsection (12) has effect in respect of acquisitions occurring on or after the day on which this Act is passed.
An amendment made by this section replaces, to the extent provided for by subsections (13) to (15), any variation made by the Stamp Duty Land Tax (Variation of the Finance Act 2003) Regulations 2006 (S.I. 2006/3237).
Despite subsections (13) to (16), the transitional provisions of sub-paragraphs (8) to (10) of paragraph 2 of the Schedule to the Stamp Duty Land Tax (Variation of the Finance Act 2003) Regulations 2006 (S.I. 2006/3237) continue to have effect in relation to the amendments made by this section as in relation to that paragraph.
Schedule 21 contains provision in relation to exemptions from stamp duty and stamp duty reserve tax in cases involving intermediaries, repurchases, stock lending or recognised investment exchanges.
In section 75 of FA 1986 (relief on acquisition of undertaking of company in pursuance of scheme for reconstruction of that company), after subsection (5) insert—
In section 77 of that Act (relief on acquisition of target company's share capital), after subsection (3) insert—
If immediately before the acquisition the target company or the acquiring company holds any of its own shares, the shares are to be treated for the purposes of sub-paragraphs (2) and (4) as having been cancelled before the acquisition (and, accordingly, the company is to be treated as if it were not a shareholder of itself).
The amendments made by subsections (1) and (2) have effect in relation to any instrument executed on or after the day on which this Act is passed.
The amendment made by subsection (3) has effect in relation to any land transaction of which the effective date is on or after that day.
In FA 2003, after section 73A insert—
In section 48 of that Act (stamp duty land tax: exempt interests), after subsection (3) insert—
For the text of sections 71A(8), 72(7), 72A(8) and 73(5)(a) of that Act (alternative finance arrangements: meaning of “financial institution”), substitute “ In this section “financial institution” has the meaning given by section 46 of the Finance Act 2005 (alternative finance arrangements). ”
The amendments made by this section—
have effect in relation to anything that would, but for the exemption provided by new section 73B inserted by subsection (1) above, be a land transaction with an effective date on or after 22nd March 2007, and
apply, in accordance with paragraph (a), to interests irrespective of the date of their creation.
In section 47(1) of FA 2003 (exchanges), insert at the end “ (and they are not linked transactions within the meaning of section 108) ”.
In section 108 of that Act (linked transactions), insert at the end—
The amendments made by this section have effect in relation to a set of land transactions if the effective date of any of them is on or after the day on which this Act is passed.
In Schedule 9 to FA 2003 (right to buy and shared ownership leases), insert at the end—
The amendment made by subsection (1) has effect in relation to land transactions with an effective date on or after the day on which this Act is passed.
Where this paragraph applies no account shall be taken for the purposes of stamp duty land tax of the rent mentioned in sub-paragraph (2)(d).
In Chapter 7 of Part 2 of the School Standards and Framework Act 1998 (c. 31) (“the 1998 Act”) (new framework for maintained schools), omit sections 79 and 79A (no stamp duty or SDLT payable in respect of certain transfers).
The repeal of— has effect in relation to any land transaction of which the effective date is on or after the day on which this Act is passed.
section 79A of the 1998 Act, and
section 79 of that Act as it applies for the purposes of section 79A,
Subject to that, the repeal of section 79 of the 1998 Act has effect in relation to any instrument executed on or after that day.
FA 2003 is amended as follows.
In section 76(3) (payment to accompany land transaction return), omit paragraph (b).
In section 80(2) (adjustment for change of circumstance: payment to accompany return), for paragraph (d) substitute—
In section 81 (withdrawal of relief: further return)—
in subsection (2), omit paragraph (b), and
after that subsection insert—
In section 81A(1) (later linked transaction: return), for paragraph (d) substitute—
In section 86 (payment of tax)—
in subsection (1), for “at the same time that a land transaction return is made in respect of the transaction.” substitute “ not later than the filing date for the land transaction return relating to the transaction. ”, and
in subsection (2), for “at the same time that a return is made in respect of the withdrawal” substitute “ not later than the filing date for the return relating to the withdrawal ”.
In paragraph 2 of Schedule 10 (payment to accompany land transaction return), omit sub-paragraph (2)(b).
For each of paragraphs 3(3)(d), 4(3)(d) and 8(3)(d) of Schedule 17A (leases) substitute—
The amendments made by this section have effect as follows—
the amendment made by subsection (2) has effect in relation to land transactions with an effective date on or after the day on which this Act is passed,
the amendment made by subsection (3) has effect in relation to returns where the event as a result of which the return is required occurs on or after the day on which this Act is passed,
the amendment made by subsection (4) has effect in relation to returns where the disqualifying event occurs on or after the day on which this Act is passed,
the amendment made by subsection (5) has effect in relation to returns where the effective date of the later transaction is on or after the day on which this Act is passed,
the amendment made by subsection (6) has effect in relation to land transactions with an effective date on or after the day on which this Act is passed,
the amendment made by subsection (7) has effect in relation to land transactions with an effective date on or after the day on which this Act is passed, and
the amendment made by subsection (8) has effect in respect of requirements to deliver a return or further return which arise on or after the day on which this Act is passed.
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Schedule 11 to FA 2003 (self-certificates) is amended as follows.
After paragraph 2 insert—
In paragraph 3(1), for “person” substitute “purchaser”.
The amendments made by this section have effect in relation to transactions with an effective date on or after the day on which this Act is passed.
Section 114 of the Police and Criminal Evidence Act 1984 (c. 60) (application of Act to customs and excise) is amended as follows.
In paragraph (a) of subsection (2)—
for “investigations conducted by officers of Customs and Excise of offences which relate to assigned matters, as defined in section 1 of the Customs and Excise Management Act 1979,” substitute “ investigations conducted by officers of Revenue and Customs ”, and
for “persons detained by officers of Customs and Excise;” substitute “ persons detained by officers of Revenue and Customs; ”.
In the opening words of paragraph (b) of that subsection, for “investigations of offences conducted by officers of Customs and Excise” substitute “ investigations of offences conducted by officers of Revenue and Customs ”.
In sub-paragraph (i) of that paragraph, for “section” substitute “ sections ”.
In the section 14A deemed to be inserted by that sub-paragraph—
for “and which relates to an assigned matter, as defined in section 1 of the Customs and Excise Management Act 1979,” substitute “ and which relates to a matter in relation to which Her Majesty's Revenue and Customs have functions, ” and
in the heading, for “Customs and Excise” substitute “ Revenue and Customs ”.
After that section insert—
In paragraph (c) of subsection (2)—
for “customs detention” substitute “ Revenue and Customs detention ”, and
for “an officer of Customs and Excise” substitute “ an officer of Revenue and Customs ”.
After that paragraph insert—
After that subsection insert—
For subsection (3) substitute—
The heading of section 114 accordingly becomes “ Application of Act to Revenue and Customs ”.
Article 85 of the Police and Criminal Evidence (Northern Ireland) Order 1989 (S.I. 1989/1341 (N.I. 12)) (application of Order to customs and excise) is amended as follows.
In sub-paragraph (a) of paragraph (1)—
for “investigations conducted by officers of Customs and Excise of offences which relate to assigned matters, as defined in section 1 of the Customs and Excise Management Act 1979,” substitute “ investigations conducted by officers of Revenue and Customs ”, and
for “persons detained by officers of Customs and Excise;” substitute “ persons detained by officers of Revenue and Customs; ”.
In the opening words of sub-paragraph (b) of that paragraph, for “investigations of offences conducted by officers of Customs and Excise” substitute “ investigations of offences conducted by officers of Revenue and Customs ”.
In paragraph (i) of that sub-paragraph, for “Article” substitute “ Articles ”.
In the Article 16A deemed to be inserted by that paragraph—
for “and which relates to an assigned matter, as defined in section 1 of the Customs and Excise Management Act 1979,” substitute “ and which relates to a matter in relation to which Her Majesty's Revenue and Customs have functions, ” and
in the heading, for “Customs and Excise” substitute “ Revenue and Customs ”.
After that Article insert—
After sub-paragraph (b) of paragraph (1) insert—
After that paragraph insert—
For paragraph (2) substitute—
The heading of Article 85 accordingly becomes “ Application of Order to Revenue and Customs ”.
In Schedule 2 to CRCA 2005 (restrictions on the exercise of functions), omit—
paragraph 7 (Police and Criminal Evidence Act 1984 (c. 60)), and
paragraph 9 (Police and Criminal Evidence (Northern Ireland) Order 1989 (S.I. 1989/1341 (N.I. 12))).
Nothing in section 6 or 7 of CRCA 2005 (initial functions) restricts the functions in connection with which officers of Revenue and Customs may exercise a power under—
the Police and Criminal Evidence Act 1984 by virtue of section 114 of that Act (as amended by section 82 above), or
the Police and Criminal Evidence (Northern Ireland) Order 1989 by virtue of Article 85 of that Order (as amended by section 83 above).
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Schedule 22 contains amendments and repeals consequential on extension of police powers to Revenue and Customs.
Sections 82 and 83 and this section come into force in accordance with provision made by the Treasury by order.
The power to make an order under subsection (5) is exercisable by statutory instrument.
Schedule 23 contains provision for Scotland about the investigation of offences by Her Majesty's Revenue and Customs.
In section 8 of the Police and Criminal Evidence Act 1984, after subsection (6) insert—
This section relates to the Criminal Justice and Public Order Act 1994 (c. 33).
Sections 136 to 139 (execution of warrants and powers of arrest and search) shall apply to an officer of Revenue and Customs as they apply to a constable; and for that purpose—
a reference to a constable (including a reference to a constable of a police force in England and Wales, a constable of a police force in Scotland or a constable of a police force in Northern Ireland) shall be treated as a reference to an officer of Revenue and Customs, and
a reference to a police station, or a designated police station, includes a reference to an office of Revenue and Customs or (in England and Wales and Northern Ireland) a designated office of Revenue and Customs.
In the application of section 137C where a person is arrested under section 137A by an officer of Revenue and Customs in respect of a specified offence that is being investigated by an officer of Revenue and Customs—
subsection (2)(b) is to be read as if (instead of requiring the detention to be authorised by both an officer of at least the rank of inspector in the arresting force and an officer of at least the rank of inspector in the investigating force) it required the detention to be authorised by an officer of Revenue and Customs of at least the grade equivalent to the rank of inspector;
subsection (2)(c) is to be read as if (instead of requiring the detention to be authorised by both an officer of a rank above that of inspector in the arresting force and an officer of a rank above that of inspector in the investigating force) it required the detention to be authorised by an officer of Revenue and Customs of a grade above that equivalent to the rank of inspector;
subsection (3) is omitted;
in subsections (4) and (5), the reference to an officer of the investigating force is to be read as a reference to an officer of Revenue and Customs;
in subsection (6), the reference to an appropriate officer in the investigating force is to be read as a reference to an appropriate officer of Revenue and Customs (as defined by subsection (7));
subsection (6)(a) is omitted;
in subsection (7)(b), the reference to an officer of at least the rank of inspector is to be read as a reference to an officer of Revenue and Customs of at least the equivalent grade;
in subsection (7)(c), the reference to an officer of a rank above that of inspector is to be read as a reference to an officer of Revenue and Customs of above the equivalent grade;
subsections (8) to (10) are omitted.
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in subsection (2)—
the reference to subsections (2) to (8) of section 14 of the Criminal Procedure (Scotland) Act 1995 (c. 46) (“the 1995 Procedure Act”) shall be treated as a reference to subsections (2) to (7) of section 24 of the Criminal Law (Consolidation) (Scotland) Act 1995 (c. 39) (“the 1995 Consolidation Act”), and
the reference to subsections (1), (2) and (4) to (6) of section 15 of the 1995 Procedure Act shall be treated as a reference to subsections (1) to (4) of section 25 of the 1995 Consolidation Act, and
in subsection (6)—
the references to section 14 of the 1995 Procedure Act shall be treated as references to section 24 of the 1995 Consolidation Act,
the references to section 15 of the 1995 Procedure Act shall be treated as references to section 25 of the 1995 Consolidation Act,
in paragraph (a), sub-paragraph (ii) shall not apply, and
paragraph (b) shall not apply.
Where section 137C applies in accordance with subsection (2A), Schedule 7B applies with the following modifications—
any reference to a constable in the arresting force is to be read as a reference to an officer of Revenue and Customs;
any reference to an officer of at least, or above, a particular rank in the investigating force is to be read as a reference to an officer of Revenue and Customs of at least, or above, the equivalent grade;
any reference to the arresting force or to the investigating force (otherwise than in relation to a description of officer in the force) is to be read as a reference to officers of Revenue and Customs;
instead of the modification made by paragraph 9, section 42 of the Criminal Justice (Scotland) Act 2016 is to be read as if the references in subsections (1)(c)(ii) and (3)(b) to the police were references to officers of Revenue and Customs;
the Schedule is to be read as if it also provided for references in the provisions applied by section 137D(2)(d), (3)(d) and (4)(d) to a police station to include references to an office of Revenue and Customs.
An officer of Revenue and Customs may exercise a power under sections 136 to 139 in the exercise of any function of the Commissioners for Her Majesty's Revenue and Customs or of officers of Revenue and Customs, within the meaning of the Commissioners for Revenue and Customs Act 2005 (see section 51(2) to (2B) of that Act) .
In the application of section 137C where a person is arrested under section 137A by an officer of Revenue and Customs in respect of a specified offence other than one that is being investigated by an officer of Revenue and Customs—
any reference to an officer of at least, or above, the rank of inspector in the arresting force is to be read as a reference to an officer of Revenue and Customs of at least, or above, the equivalent grade;
the reference in subsection (6)(a) to the arresting force is to be read as a reference to any officer of Revenue and Customs.
In subsection (2)—
The purpose of this Schedule is to secure that in the case of an arrangement— the charge to corporation tax in that case reflects the fact that the arrangement equates, in substance, to such a transaction. But this is not to be read as preventing the rules in this Schedule about corporation tax in respect of chargeable gains from having no effect in relation to debtor quasi-repos and creditor quasi-repos.
This paragraph applies if a company (“the lender”) has a creditor repo or a creditor quasi-repo. The advance under the creditor repo or creditor quasi-repo is, in the case of the lender, to be treated for the purposes of the loan relationship rules as a money debt which— The arrangement is, in the case of the lender, to be treated for the purposes of those rules as a transaction for the lending of money from which that debt is treated as arising for those purposes. Any amount which, in accordance with generally accepted accounting practice, is recorded in— as a finance return in respect of the advance is to be treated for those purposes as interest receivable under that debt. That interest is to be treated for those purposes as received at the earlier of— For this purpose “the relevant repurchase” means—
If a company has a creditor repo, Chapter 9 of Part 15 of ITA 2007 (deduction of income tax at source: manufactured payments) has effect in relation to the lender while the arrangement is in force as if— If a company has a debtor repo, the reverse charge provisions of Chapter 9 of Part 15 of ITA 2007 have effect in relation to the borrower while the arrangement is in force as if— If sub-paragraph (1) or (2) applies, any payment actually made under an arrangement which is representative of any income payable on any securities is to be treated for the purposes of Chapter 9 of Part 15 of ITA 2007 as if it had not been made. In this paragraph “the reverse charge provisions of Chapter 9 of Part 15 of ITA 2007” means—
This paragraph applies if a company (“the borrower”)— A relevant arrangement is one in relation to which conditions C and D in paragraph 3 are met and the main purpose, or one of the main purposes, of which is the obtaining of a tax advantage. For the purposes of the charge to corporation tax in respect of income of the borrower arising while the arrangement is in force, the Corporation Tax Acts have effect as if— But— In the case of any overseas dividend payable in respect of those securities, the entitlement of the borrower to double taxation relief in respect of that dividend is determined as if— For the purposes of this paragraph “double taxation relief” means any relief given under or as a result of Part 18 of ICTA.
For the purposes of this Schedule a company (“the lender”) has a creditor repo if conditions A to E are met. Condition A is that under an arrangement another person (“the borrower”) receives from the lender any money or other asset (“the advance”). Condition B is that, in accordance with generally accepted accounting practice, the accounts of the lender for the period in which the advance is made record a financial asset in respect of the advance. Condition C is that under the arrangement the borrower sells any securities at any time to the lender. Condition D is that the arrangement makes provision conferring a right or imposing an obligation on the lender to sell those or similar securities at any subsequent time. Condition E is that, in accordance with generally accepted accounting practice, the subsequent sale of those or similar securities would extinguish the financial asset in respect of the advance recorded in the accounts of the lender. For the purposes of conditions A to E references to the lender include a partnership of which the lender is a member.
Sub-paragraph (7) applies if— In that case the references in sub-paragraphs (2) and (3) to the time when the member reached the age of 75 are to be read as referring to the end of the period of six months beginning with any later date on which the member’s whereabouts are subsequently ascertained by the scheme administrator.
The penalty payable under paragraph 1 is— The penalty payable under paragraph 2 is 30% of the potential lost revenue. Paragraphs 5 to 8 define “potential lost revenue”.
Where an inaccuracy has the result that a loss is wrongly recorded for purposes of direct tax and the loss has been wholly used to reduce the amount due or payable in respect of tax, the potential lost revenue is calculated in accordance with paragraph 5. Where an inaccuracy has the result that a loss is wrongly recorded for purposes of direct tax and the loss has not been wholly used to reduce the amount due or payable in respect of tax, the potential lost revenue is— Sub-paragraphs (1) and (2) apply both— Where an inaccuracy has the effect of creating or increasing an aggregate loss recorded for a group of companies— The potential lost revenue in respect of a loss is nil where, because of the nature of the loss or P’s circumstances, there is no reasonable prospect of the loss being used to support a claim to reduce a tax liability (of any person).
In ITA 2007, before section 104 (and the italic cross-heading before it) insert— The amendment made by sub-paragraph (1) has effect in relation to any loss made by an individual in a trade in the tax year 2007-08 or any subsequent tax year. But, in the case of a loss made by an individual in a trade in a tax year the basis period for which begins before 2nd March 2007 (a “straddling basis period”), the amount of that loss for the purposes of section 103C of ITA 2007 is— “The pre-announcement loss” is determined as follows. Calculate the profits or losses of the straddling basis period, but without regard to capital allowances and qualifying film expenditure (within the meaning of section 103D of ITA 2007). If that calculation produces a loss and the individual has made a contribution of an amount as capital to the firm or LLP in question— apportion the loss produced by that calculation to the part of the straddling basis period which begins with the relevant date and falls before 2nd March 2007 in proportion to the number of days in that part. Calculate so much of the loss of the straddling basis period as derives from relevant pre-announcement capital expenditure. The pre-announcement loss is the sum of— In sub-paragraph (6) “the relevant date” means— For the purposes of this paragraph the amount of the loss of the straddling basis period that derives from relevant pre-announcement capital expenditure is determined on a just and reasonable basis. In this paragraph “relevant pre-announcement capital expenditure” means— and for this purpose “an unconditional obligation” means an obligation which may not be varied or extinguished by the exercise of any right conferred on the firm or LLP in question (whether or not under the contract). For the purposes of this paragraph— Section 62 of ITA 2007 (partners: losses of a tax year etc) applies for the purposes of this paragraph as it applies for the purposes of Chapter 3 of Part 4 of that Act.
ITA 2007 is amended as follows.
In section 32 (liability not dealt with in the calculation), for “section 112(5)” substitute “section 103B(5)”.
In section 82(a) (exploitation of films), for “sections 115 and 116” substitute “section 115”.
Section 102 (overview of Chapter 3 of Part 4) is amended as follows. In subsection (1)— In subsection (2), for “sections 115 and 116” substitute “section 115”.
After section 103 insert—
After section 103C (as inserted by paragraph 1(1) above) insert—
In— omit “(see section 112)”.
section 104(5) (restriction on reliefs for limited partners),
section 107(2) (restriction on reliefs for members of LLPs),
section 110(1)(a) (restriction on reliefs for non-active partners in early tax years), and
section 115(1)(d) (restrictions on relief for firms exploiting films),
In— for the words from “any regulations” to “excluded” substitute “section 113A and any regulations made under section 114 (exclusion of amounts”.
section 105(11) (meaning of “contribution to the firm” for purposes of section 104),
section 108(9) (meaning of “contribution to the LLP” for purposes of section 107), and
section 111(12) (meaning of “contribution to the firm” for purposes of section 110),
Omit section 106 (meaning of “limited partner”).
In section 112 (meaning of “non-active partner” and “early tax year” etc)—
omit subsections (1) to (5), and
the heading accordingly becomes “Meaning of “early tax year””.
Omit the italic-cross heading before section 114 (regulations: exclusion of amounts in calculating contribution to the firm or LLP) and for the heading of that section substitute “Power to exclude other amounts”.
In section 115 (restrictions on reliefs for firms exploiting films), for subsection (4) substitute—
Omit section 116 (exclusion from restrictions under section 115: certain film expenditure).
In section 792 (partners claiming excess sideways or capital gains relief)—
in subsection (7), for “106” substitute “103A”, and
in subsection (8), for “106(3)(a)” substitute “103A(3)(a)”.
In section 809 (individuals in partnership claiming relief for licence-related trading losses: other definitions)—
in subsection (1), for “112” substitute “103B”, and
in subsection (2), for “112(1)(b)” substitute “103B(1)(b)”.
In paragraph 148(3)(b) of Schedule 2 (transitionals and savings: tax avoidance)—
for “106” substitute “103A”, and
for “112” substitute “103B”.
In Schedule 4 (index of defined expressions)—
in the definition of “limited partner”, for “106” substitute “103A”,
in the definition of “non-active partner”, for “112” substitute “103B”, and
qualifying film expenditure (in Chapter 3 of Part 4) section 103D
The amendments made by paragraphs 5 to 20 are deemed always to have had effect.
In ITA 2007, before section 114 insert— The amendment made by sub-paragraph (1) has effect in relation to any amount contributed to a firm or LLP as capital on or after 2nd March 2007 (but see sub-paragraph (4)). For this purpose— The amendment made by sub-paragraph (1) has no effect in relation to any amount contributed by an individual on or after 2nd March 2007 if—
Where section 137C applies in accordance with subsection (2C), Schedule 7B applies with the following modifications—
any reference to a constable in the arresting force is to be read as a reference to an officer of Revenue and Customs;
any reference to the arresting force (otherwise than in relation to a description of officer in the force) is to be read as a reference to officers of Revenue and Customs;
instead of the modification made by paragraph 9, section 42 of the Criminal Justice (Scotland) Act 2016 is to be read as if the references in subsections (1)(c)(ii) and (3)(b) to the police were references to officers of Revenue and Customs;
the Schedule is to be read as if it also provided for references in the provisions applied by section 137D(2)(d), (3)(d) and (4)(d) to a police station to include references to an office of Revenue and Customs.
In section 136, after subsection (8) insert—
In the application of those sections to an officer of Revenue and Customs—
sections 136(4B) and 137(7B) apply with the omission of the words from “and, if the constable” to the end;
section 137ZA applies with the omission of subsection (6).
Section 8 of TMA 1970 (personal tax return) is amended as follows.
In subsection (1)(a), omit “, on or before the day mentioned in subsection (1A) below”.
Omit subsection (1A).
After subsection (1C) insert—
Section 8A of TMA 1970 (trustee's tax return) is amended as follows.
In subsection (1)(a), omit “, on or before the day mentioned in subsection (1A) below”.
Omit subsection (1A).
After subsection (1AA) insert—
In section 12AA of TMA 1970, for subsection (4) (partnership return: filing date) substitute—
For subsection (5) of that section (partnership return where a company is a partner: filing date) substitute—
In section 9(2) of TMA 1970 (returns to include self-assessment)—
in paragraph (a), for “30th September” substitute “ 31st October ”, and
in paragraph (b), for “31st July” substitute “ 31st August ”.
In section 9ZA of TMA 1970 (amendment of personal or trustee return), for subsection (3) substitute—
In section 9A(6) of TMA 1970 (notice of enquiry: “the filing date”), for the words from “means” to the end substitute “ means, in relation to a return, the last day for delivering it in accordance with section 8 or 8A. ”
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In section 28C of TMA 1970 (determination of tax where no return delivered), for subsection (6) substitute—
In section 33A of TMA 1970 (error in partnership return)—
in subsection (1), insert at the end “ for a year of assessment (Year 1), or for a relevant period which ends in Year 1 ”,
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
in subsection (9), omit the definition of “filing date”, and
“relevant period” means a period in respect of which a return is required.
“the filing date” in respect of a return for a year of assessment (Year 1) means—
In section 93A of TMA 1970 (failure to make partnership return), after subsection (7) insert—
In subsection (8) of section 93A, omit the definition of “the filing date”.
In paragraph 4 of Schedule 15 to FA 2006 (accountancy change: spreading of adjustment)—
in sub-paragraph (1), after “a tax year” insert “ (Year 1) ”, and
in sub-paragraph (2), for “normal self-assessment filing date for the tax year.” substitute “ 31st January of Year 2. ”
Sections 88 to 91 have effect—
in relation to a return under section 8 or 8A of TMA 1970, or a return under section 12AA of that Act for a partnership which includes one or more individuals, in respect of a return for a year of assessment beginning on or after 6th April 2007, and
in relation to a return under section 12AA of that Act for a partnership which includes one or more companies, in respect of a return for a relevant period beginning on or after 6th April 2007.
In subsection (1)(b) “relevant period” means a period in respect of which a return is required.
Section 135 of FA 2002 (mandatory electronic filing) is amended as follows.
In subsection (7), after paragraph (b) insert—.
“taxation matter” means any matter relating to a tax (or duty) for which the Commissioners are responsible.
Section 76 of VATA 1994 (assessment) is amended as follows.
In subsection (1), after paragraph (c) insert—or .
In that subsection, before “may have ceased” insert “ or the regulations ”.
In subsection (3), insert at the end—; and
In section 83 of VATA 1994 (appeals), after paragraph (zb) insert—.
In section 84 of VATA 1994 (appeals), after subsection (6A) insert—
Section 204 of FA 2003 (mandatory electronic payment by large employers) is amended as follows.
For subsections (1) and (2) substitute—
In subsection (5)(b), for “the Inland Revenue” substitute “ Her Majesty's Revenue and Customs ”.
In subsection (6)(a), for “the Inland Revenue” substitute “ Her Majesty's Revenue and Customs ”.
In subsection (8)—
in paragraph (a), for “a contravention of, or any failure to comply with,” substitute “ a contravention by a large employer of, or any failure by a large employer to comply with, ”, and
in paragraph (b), for “taxation matter within the care and management of the Commissioners” substitute “ matter relating to a tax (or duty) for which the Commissioners are responsible ”.
In subsection (12)—
“Her Majesty's Revenue and Customs” includes a person acting under the authority of the Commissioners in relation to payment by electronic means;
after that definition insert—.
The heading accordingly becomes “ Mandatory electronic payment ”.
In section 205(1) of FA 2003 (application of section 204 for other purposes)—
after “taxation” insert “ (or duty) ”, and
for “the Commissioners of Inland Revenue” substitute “ the Commissioners for Her Majesty's Revenue and Customs ”.
The Commissioners may make regulations providing for a payment to HMRC made by cheque to be treated as made when the cheque clears, as defined in the regulations.
Section 70A of TMA 1970 (payment by cheque treated as made on receipt by HMRC) is subject to regulations under subsection (1).
Regulations under subsection (1)—
may make provision generally or only for specified purposes,
may make different provision for different purposes, and
may include incidental, consequential or transitional provision.
Regulations under subsection (1)—
shall be made by statutory instrument, and
shall be subject to annulment in pursuance of a resolution of the House of Commons.
In this section—
“the Commissioners” means the Commissioners for Her Majesty's Revenue and Customs, and
“HMRC” means Her Majesty's Revenue and Customs.
In section 204 of FA 2003 (electronic payment), insert at the end—
In section 70A of TMA 1970 (payments by cheque), insert at the end—
In VATA 1994, after section 58A insert—
In section 9A(2)(a) of TMA 1970 (period during which HMRC can open enquiry into return), for “after the filing date;” substitute “ after the day on which the return was delivered; ”.
In section 12AC(2)(a) of TMA 1970 (period during which HMRC can open enquiry into partnership return), for “after the filing date;” substitute “ after the day on which the return was delivered; ”.
In paragraph 24(2) of Schedule 18 to FA 1998 (period during which HMRC can open enquiry into company tax return), for “from the filing date.” substitute “ from the day on which the return was delivered (subject to sub-paragraph (6)). ”
In the case of a company which is a member of a group other than a small group, the 12-month period in sub-paragraph (2) shall start not from the day on which the return was delivered but from the filing date. In sub-paragraph (6) “group” and “small group” have the same meaning as in sections 383(2) and 474(1) of the Companies Act 2006 (or, until their commencement, as in the provisions that they replicate).
The amendments made by subsections (1) and (2) apply to returns which relate to the tax year 2007-08 or a later tax year.
The amendments made by subsections (3) and (4) apply to returns which relate to accounting periods ending after 31st March 2008.
Schedule 24 contains provisions imposing penalties on taxpayers who—
make errors in certain documents sent to HMRC, or
unreasonably fail to report errors in assessments by HMRC.
That Schedule comes into force in accordance with provision made by the Treasury by order.
An order—
may commence a provision generally or only for specified purposes,
may make different provision for different purposes, and
may include incidental, consequential or transitional provision.
The power to make an order is exercisable by statutory instrument.
In section 77A of VATA 1994 (joint and several liability of traders in supply chain where tax unpaid), for subsection (9) substitute—
In section 97(4) of that Act (orders ceasing to have effect unless approved by House of Commons), after paragraph (ea) insert—.
Schedule 4 to VATA 1994 (matters to be treated as supply of goods or services) is amended as follows.
In paragraph 5 (non-business use etc of business goods), omit sub-paragraph (4A) (exception to rule in case of interests in land and buildings etc that non-business use of business assets treated as supply of services).
In paragraph 9 (application of paragraphs 5 to 8 where land forms part of assets of business), insert at the end—
Paragraph 7 of Schedule 6 to VATA 1994 (valuation of supply of services otherwise than for consideration by virtue of paragraph 5(4) of Schedule 4 etc) is amended as follows.
The existing provision becomes sub-paragraph (1) and after that sub-paragraph insert—
The amendment made by subsection (2) comes into force on 1st September 2007.
The amendment made by subsection (3) has effect in relation to surrenders on or after 21st March 2007.
Section 49 of VATA 1994 (transfers of going concern) is amended as follows.
In subsection (1) (transferor's supplies treated as transferee's supplies for purposes of registration and transferor's records to be kept by transferee after transfer)—
after “Where a business” insert “ , or part of a business, ”,
after “on the business” insert “ or part of the business ”, and
omit paragraph (b) (together with the “and” before it).
In subsection (2) (regulations for securing continuity of Act in case of transfers of going concerns), after “a business” insert “ , or part of a business, ”.
After that subsection insert—
In subsection (3) (provision which may be made by regulations), in paragraph (a), after “the transferor” insert “ (other than the duties mentioned in subsection (2A) above) ”.
After that subsection insert—
In section 94(6) of VATA 1994 (meaning of “business” etc)—
after “a business” insert “ , or part of a business, ”, and
for “its assets or liabilities” substitute “ the assets or liabilities of the business or part of the business ”.
In paragraph 1(2) of Schedule 1 to that Act (registration in respect of taxable supplies), after “Where a business” insert “ , or part of a business, ”.
In paragraph 8(2)(b) of Schedule 4 to that Act (matters to be treated as supply of goods or services), after “a business” insert “ , or part of a business, ”.
The amendments made by this section have effect in relation to transfers pursuant to contracts entered into on or after 1st September 2007.
In section 72 of FA 1994 (interpretation: “premium”), after subsection (1A) insert—
The amendment made by subsection (1) has effect in relation to amounts charged on or after 22nd March 2007.
Section 185 of FA 1993 (abolition of PRT for oil fields with development consents on or after 16th March 1993) is amended as follows.
In subsection (1) (meaning of “non-taxable field” and “taxable field”), after paragraph (b) insert “ or an oil field which does not meet the conditions in paragraphs (a) and (b) above but which does meet the conditions in subsection (1A) below ”.
After that subsection insert—
In subsection (7) (meaning of “development” etc), for “subsections (1) and (2)” substitute “ this section ”.
An oil field which meets the conditions in subsection (1A) of section 185 of FA 1993 (as inserted by subsection (3) above) becomes a non-taxable field for the purposes of any enactment relating to petroleum revenue tax—
in any case where the development decision is made before 1st July 2007, on that date, and
in any other case, on the date on which the development decision is made.
Section 6A of the Oil Taxation Act 1983 (c. 56) (tax-exempt tariffing receipts) is amended as follows.
In subsection (4), insert at the endor
“UK recommissioned field” means any oil field which is not a new field or qualifying existing field but as respects which the conditions in section 185(1A) of the Finance Act 1993 are satisfied (fields recommissioned after earlier decommissioning).
The amendments made by this section are deemed to have come into force on 1st July 2007.
In section 6 of the Oil Taxation Act 1975 (c. 22) (allowance of unrelievable loss from abandoned field), after subsection (4) insert—
The amendment made by subsection (1) is deemed to have come into force on 1st July 2007.
Schedule 25 contains amendments that are consequential on, or otherwise connected with, the Gambling Act 2005 (c. 19).
In section 5 of VERA 1994 (exempt vehicles), after subsection (2) insert—
In section 60(3) of that Act (orders subject to affirmative procedure), after “under” insert “ section 5(3) or ”.
Section 32(1)(c) of the Limitation Act 1980 (c. 58) (extended period for bringing action in case of mistake) does not apply in relation to any action brought before 8th September 2003 for relief from the consequences of a mistake of law relating to a taxation matter under the care and management of the Commissioners of Inland Revenue.
Subsection (1) has effect regardless of how the grounds on which the action was brought were expressed and of whether it was also brought otherwise than for such relief.
But subsection (1) does not have effect in relation to an action, or so much of an action as relates to a cause of action, if—
the action, or cause of action, has been the subject of a judgment of the House of Lords given before 6th December 2006 as to the application of section 32(1)(c) in relation to such relief, or
the parties to the action are, in accordance with a group litigation order, bound in relation to the action, or cause of action, by a judgment of the House of Lords in another action given before that date as to the application of section 32(1)(c) in relation to such relief.
If the judgment of any court was given on or after 6th December 2006 but before the day on which this Act is passed, the judgment is to be taken to have been what it would have been had subsections (1) to (3) been in force at all times since the action was brought (and any defence of limitation which would have been available had been raised).
And any payment made to satisfy a liability under the judgment which (in consequence of subsection (4)) is to be taken not to have been imposed is repayable (with interest from the date of the payment).
Subsection (1) also does not have effect in relation to an action, or so much of an action as relates to a cause of action, if the consequences of a mistake of law to which the action, or cause of action, relates is the charging of tax contrary to EU law.
In this section—
In paragraph 20 of Schedule 22 to FA 2001 (remediation of contaminated land), for the words from the beginning to “Schedule D,” substitute “In computing in accordance with the provisions of the Taxes Act 1988 applicable to Case I of Schedule D the profits for any accounting period arising to an insurance company from its life assurance business, or from its gross roll-up business,”.
“SCE” means an SCE formed in accordance with Council Regulation (EC) 1435/2003 on the Statute for a European Cooperative Society, and
In section 432ZA(5) of ICTA (linked assets), for “432F” substitute “432E”. In section 434A(2A) of that Act (computation of losses and limitation on relief), for “paragraph 2” substitute “paragraph 2(1)”. In the heading of section 88 of FA 1989, for “fraction” substitute “share”. In paragraph 17 of Schedule 7 to FA 1991 (transitional provisions for chargeable gains and unrelieved general annuity business)—
In paragraph 1 “general insurer” means— In paragraph 2 “general insurer” means— For the purposes of sub-paragraphs (1) and (2) “general business” means business which consists of the effecting or carrying out of contracts that fall within Part 1 of Schedule 1 to the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (S.I. 2001/544). In the case of members of a Lloyd’s syndicate, references in paragraph 1 to any accounts for a period are to the return of the syndicate’s profits or loss for that period under regulation 4 of the Lloyd’s Underwriters (Tax) Regulations 2005 (S.I. 2005/3338). In paragraph 1 “period of account”— In paragraphs 1 and 2 “technical provisions”, except in the case of members of a Lloyd’s syndicate, means any of the following— In paragraphs 1 and 2 “technical provisions”, in the case of members of a Lloyd’s syndicate (“the syndicate”), means— as may be determined by or under regulations made by the Commissioners for Her Majesty’s Revenue and Customs. For this purpose— and in paragraph (b) “closing year” has the same meaning as in Chapter 3 of Part 2 of FA 1993 or Chapter 5 of Part 4 of FA 1994. In this paragraph— In this paragraph references to provisions for claims outstanding, unearned premiums and unexpired risks have the same meaning as in Schedule 9A to the Companies Act 1985 (c. 6). The Commissioners for Her Majesty’s Revenue and Customs may by regulations— The Treasury may by regulations amend sub-paragraphs (1) to (3) (definition of “general insurer”). In the event of any changes in the rules or practice of Lloyd's, the Commissioners for Her Majesty’s Revenue and Customs may by regulations make such amendments of paragraph 1 and this paragraph as appear to the Commissioners to be expedient having regard to those changes. Regulations under section 182(1)(a) of FA 1993 or section 229(1)(a) of FA 1994 (assessment and collection of tax charged in case of Lloyd’s underwriters) may, in particular, include provision applying paragraph 2 with modifications in the case of members of a Lloyd’s syndicate. Regulations under paragraph 1 or this paragraph may—
In section 297 of ICTA (qualifying trades)— In section 304A of that Act (acquisition of share capital by new company)— In section 576B of that Act (share loss relief: the trading requirement), after subsection (8) insert— In section 576K of that Act (share loss relief: substitution of new shares for old), after subsection (3) insert— In section 137 of ITA 2007 (share loss relief: trading requirement for shares to which EIS relief not attributable), after subsection (8) insert— In section 146 of that Act (share loss relief: substitution of new shares for old), after subsection (2) insert— In section 195 of ITA 2007 (EIS: excluded activities: receipt of royalties and licence fees)— In section 249 of that Act (substitution of new shares for old shares)—
This paragraph applies if— The activity is to be treated, in relation to those shares or securities, as not being an excluded activity at that time. In sub-paragraphs (1) and (2), references to an excluded activity are to be read—
Section 80A of FA 1986 (exemption from stamp duty: sales to intermediaries) is amended as follows. For subsections (1) to (3) substitute— In subsection (6) (meaning of sale being on an exchange)— After that subsection insert— The amendments made by this paragraph have effect in relation to any instrument executed on or after 1st November 2007.
In F(No.2)A 2005, omit section 50 (power to extend stamp duty and SDRT exemptions to recognised exchanges). This paragraph comes into force on 1st November 2007.
In Schedule 3 to FA 1966 (provision relating to Schedule 1 to the Betting, Gaming and Lotteries Act 1963 (c. 2)), omit paragraph 6.
In section 272 of TCGA 1992 (valuation: general), for subsections (3) and (4) substitute— The amendment made by sub-paragraph (1) has effect where the date of valuation falls on or after such day as may be appointed by the Treasury by order; and different days may be appointed for different purposes.
Section 774B of ICTA (disregard of intended effects of arrangement involving disposals of assets) is amended as follows. For subsection (1) substitute— In subsection (4)(a) (income tax relief for finance charge in respect of advance), for the words from the beginning to “is a person” substitute “a person in relation to whom this section applies is”. In subsection (5) (corporation tax relief for finance charge in respect of advance), for the words from the beginning to “is a company” substitute “If a person in relation to whom this section applies is”.
“insurance business transfer scheme” means— In consequence of sub-paragraph (1), omit— In section 431 of ICTA, insert at the end— In section 66 of FA 2002 (election to continue postponement of mark to market)— In paragraph 10 of Schedule 22 to that Act—
Section 83 of FA 1989 (receipts to be taken into account) is amended as follows. In the first sentence of subsection (2B), for the words from “but the transfer” to “the time of the transfer” substitute “the fair value of the assets at the time of the transfer, reduced by any amount brought into account in respect of them (for the period of account in which the transfer takes place or any earlier period of account) as part of total expenditure or as a business transfer-out,”. In that sentence (as amended by sub-paragraph (2))— Omit the second sentence of subsection (2B). For subsection (2E) substitute—
In ICTA, for sections 444AB and 444ABA substitute— In section 432E(2A) of ICTA (apportionments: participating funds)—
In ICTA, omit section 444AD (transfers of business: modification of section 83(2B) of FA 1989). a transfer takes place in the following period of account; and the amount of the transfer-in amount for the previous period of account is any amount by which—
Section 80B of FA 1986 (exemption from stamp duty on sales to intermediaries: supplementary) is amended as follows. In subsection (2)— After that subsection insert— After subsection (5) insert— In subsection (7) (power for regulations to provide for stamp duty to be chargeable at a rate not exceeding 0.1%), for “subsection (1) or (2)” substitute “any of subsections (1) to (2C)”. The amendments made by this paragraph have effect in relation to any instrument executed on or after 1st November 2007.
In ITTOIA 2005, for sections 450 and 451 substitute— The amendment made by sub-paragraph (1) has effect where the date of valuation falls on or after such day as may be appointed by the Treasury by order; and different days may be appointed for different purposes.
In section 774D of ICTA (disregard of intended effects of arrangement involving change in relation to a partnership), after subsection (2) insert—
Section 88A of FA 1986 (exemption from SDRT: sales to intermediaries) is amended as follows. For subsections (1) to (3) substitute— In subsection (6) (meaning of sale being on an exchange)— After that subsection insert— The amendments made by this paragraph have effect in relation to any agreement to transfer securities—
In section 774E of ICTA (exceptions), in subsection (7)(a) (meaning of “relevant person” where section 774B applies), for the words from “a person” to “of that section)” substitute “the borrower under the structured finance arrangement, a person connected with that borrower or (if that borrower is a partnership) a member of the partnership”.
Section 88B of FA 1986 (exemption from SDRT on sales to intermediaries: supplementary) is amended as follows. In subsection (2)— After that subsection insert— After subsection (3) insert— In subsection (5) (power for regulations to provide for SDRT to be chargeable at a rate not exceeding 0.1%), for “subsection (1) or (2)” substitute “any of subsections (1) to (2C)”. In subsection (7) (regulations exercisable by statutory instrument and subject to annulment), for “(4)” substitute “(3A)”. The amendments made by this paragraph have effect in relation to any agreement to transfer securities—
Section 774G of ICTA (minor definitions etc for purposes of sections 774A to 774D) is amended as follows. In paragraph (a) of subsection (3) (meaning of receiving asset)— In paragraph (c) of that subsection (meaning of payments in respect of asset), for “include obtaining” substituteinclude—. After subsection (5) insert—
The amendments made by paragraphs 3 to 5 and 6(2) and (3) have effect in relation to any arrangements whenever made. But, in relation to arrangements made before 6th March 2007, amounts are as a result of any of those amendments— only if the amounts arise on or after that date. In any case where, in relation to arrangements made before that date, a person is treated as a result of any of those amendments as being a party to any loan relationship— For this purpose the notional carrying value is the amount that would have been the carrying value of the liability in the accounts of the person if a period of account had ended immediately before that date. “Carrying value” has the same meaning here as it has for the purposes of paragraph 19A of Schedule 19 to FA 1996. The amendment made by paragraph 6(4) comes into force on the day on which this Act is passed.
Section 263E of TCGA 1992 (structured finance arrangements) is amended as follows. In subsection (2) (condition A: person making disposal of asset subsequently acquires it), for the words from “subsequently” to the end substitute “(and no-one else) has the right or obligation under the arrangement to acquire the asset disposed of by that disposal at any subsequent time (whether or not the right or obligation is subject to any conditions).” In subsection (3) (condition B: asset ceases to exist)— After subsection (4) insert— In subsection (5) (disregard of subsequent acquisitions), for “Any” substitute “Except in a case falling within subsection (4A), any”. The amendments made by this paragraph have effect in relation to disposals made on or after 6th March 2007. The amendments made by this paragraph also have effect in relation to any disposal made by a person before that date if the person makes a claim to that effect under this sub-paragraph.
Part 7 of FA 2004 (disclosure of tax avoidance schemes) is amended as follows.
After section 306 insert—
In section 307 (“promoter”), insert at the end—
After section 308 insert—
After section 313 insert—
After section 314 insert—
After section 317 insert—
In section 318(1) (interpretation)—
“HMRC” means the Commissioners for Her Majesty's Revenue and Customs;
“the Special Commissioners” has the meaning given by section 4 of the Taxes Management Act 1970;
In section 98C of TMA 1970 (notifications under Part 7 of FA 2004)—
in subsection (2), at the end insert—, and , and
after that subsection insert—
The amendments made by this section come into force on the passing of this Act; and—
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
a power under Part 7 of FA 2004 as amended by this section may be exercised in relation to, or by virtue of, matters arising wholly or partly before the passing of this Act.
Schedule 26 contains—
new definitions of “recognised stock exchange” for the purposes of the Tax Acts and TCGA 1992,
provision for the valuation for the purposes of TCGA 1992 of certain shares or securities listed on recognised stock exchanges,
provision for the valuation for the purposes of Chapter 8 of Part 4 of ITTOIA 2005 of strips and securities exchanged for strips, and
minor and consequential amendments in relation to stock exchanges.
The Treasury may by regulations make provision about—
the tax consequences of a merger to form an SE or SCE,
the tax consequences of a merger where—
each party to the merger is resident in a member State, and
the parties are not all resident in the same member State,
the tax consequences of a transfer between companies of a business or part of a business, where—
each party to the transfer is resident in a member State, and
the parties are not all resident in the same member State,
the tax consequences of a share exchange to which section 135 of TCGA 1992 (exchange of securities) applies where companies A and B are resident in different member States,
the residence of an SE or SCE.
Regulations may, in particular, make provision—
about the taxation of chargeable gains (including conferring relief from taxation in relation to transfers or mergers which satisfy specified conditions),
conferring relief from taxation on a distribution of a company which satisfies specified conditions,
about the treatment of securities issued on a transfer or merger,
about the treatment of loan relationships,
about the treatment of derivative contracts,
about the treatment of intangible fixed assets, and
about capital allowances.
Regulations may make provision only if the Treasury think it necessary or expedient for the purposes of complying with the United Kingdom's obligations under the Mergers Directive.
In this section—
If they think it right because of special circumstances, HMRC may reduce a penalty under paragraph 1 or 2. In sub-paragraph (1) “special circumstances” does not include— In sub-paragraph (1) the reference to reducing a penalty includes a reference to—
HMRC may suspend all or part of a penalty for a careless inaccuracy under paragraph 1 by notice in writing to P. A notice must specify— HMRC may suspend all or part of a penalty only if compliance with a condition of suspension would help P to avoid becoming liable to further penalties under paragraph 1 for careless inaccuracy. A condition of suspension may specify— On the expiry of the period of suspension— If, during the period of suspension of all or part of a penalty under paragraph 1, P becomes liable for another penalty under that paragraph, the suspended penalty or part becomes payable.
Where a penalty under paragraph 1 is payable by a company for a deliberate inaccuracy which was attributable to an officer of the company— Sub-paragraph (1) does not allow HMRC to recover more than 100% of a penalty. In the application of sub-paragraph (1) to a body corporate “officer” means— In the application of sub-paragraph (1) in any other case “officer” means— A reference to P in this Schedule (including paragraph 15) includes a reference to an officer of the company who is liable for a portion of the penalty in accordance with this paragraph.
CAA 2001 is amended as follows.
Section 255 (apportionment of allowances and charges) is amended as follows. For subsections (1) and (1A) substitute— Omit subsection (2). In subsection (3)—
Section 256 (different giving effect rules for different categories of business) is amended as follows. In subsection (3), for paragraphs (a) to (c) substitute “section 436A of ICTA (gross roll-up business)”. In subsection (4)—
Section 545 (investment assets) is amended as follows. In subsection (3), in the second sentence, for “sections 432ZA to 432E, or section 438B,” substitute “section 432A”. In subsection (5)—
“the Mergers Directive” means Council Directive 2009/133/EC,
Section 461 of ICTA (exemption of registered friendly societies from tax in respect of business which is not life or endowment business) is amended as follows. After subsection (4) insert— In subsection (5), after “(4)” insert “or (4A)”. Insert at the end—
This paragraph applies if— The purchase of the securities, and the subsequent sale of those or similar securities, by the lender under the arrangement are to be ignored for the purposes of corporation tax in respect of chargeable gains (but see sub-paragraph (5)). If at any time after the initial purchase of the securities— the lender is to be treated for the purposes of corporation tax in respect of chargeable gains as acquiring the securities at that time for a consideration equal to their market value at that time. The accounting condition ceases to be met if, in accordance with generally accepted accounting practice, the accounts of the lender for any period after the one in which the advance is made do not record a financial asset in respect of the advance (except as a result of the subsequent sale of the securities or similar securities). If sub-paragraph (3) applies because the accounting condition ceases to be met, any subsequent sale of those or similar securities by the lender under the arrangement is not to be ignored for the purposes of corporation tax in respect of chargeable gains as a result of this paragraph. For the purposes of this paragraph references to the lender include a partnership of which the lender is a member.
In this Schedule— For the purposes of this Schedule references to a person’s receiving any asset include the person’s obtaining directly or indirectly the value of any asset or otherwise deriving directly or indirectly any benefit from it. For the purposes of this Schedule— For the purposes of this Schedule securities are similar if they entitle their holders to— in spite of any difference in the total nominal amounts of the respective securities or in the form in which they are held or the manner in which they can be transferred. For the purposes of this Schedule it does not matter whether or not provision of any arrangement conferring a right or imposing an obligation on any person to buy any securities is subject to any conditions. For the purposes of this Schedule an arrangement is in force from the time when the securities are initially sold until the earlier of— For this purpose “the relevant repurchase” means— Any reference in this Schedule to an amount being recognised in determining a company’s profit or loss for a period is to an amount being recognised for accounting purposes— In determining for the purposes of this Schedule whether an amount is recorded as a financial asset or liability in respect of the advance it is to be assumed that the period of account in which the advance is received or made ended immediately after the receipt or making of the advance. For the purposes of paragraphs 6(4) and 11(4)— If any person does not draw up accounts in accordance with generally accepted accounting practice, this Schedule applies as if the accounts had been drawn up by the person in accordance with that practice.
For the purposes of this Schedule a company (“the borrower”) has a debtor repo if conditions A to E are met. Condition A is that under an arrangement the borrower receives from another person (“the lender”) any money or other asset (“the advance”). Condition B is that, in accordance with generally accepted accounting practice, the accounts of the borrower for the period in which the advance is received record a financial liability in respect of the advance. Condition C is that under the arrangement the borrower sells any securities at any time to the lender. Condition D is that the arrangement makes provision conferring a right or imposing an obligation on the borrower to buy those or similar securities at any subsequent time. Condition E is that, in accordance with generally accepted accounting practice, the subsequent buying of those or similar securities would extinguish the financial liability in respect of the advance recorded in the accounts of the borrower. For the purposes of conditions A to E references to the borrower include a partnership of which the borrower is a member.
This paragraph applies if a company (“the borrower”) has a debtor repo or a debtor quasi-repo. The advance under the debtor repo or debtor quasi-repo is, in the case of the borrower, to be treated for the purposes of the loan relationship rules as a money debt which— The arrangement is, in the case of the borrower, to be treated for the purposes of those rules as a transaction for the lending of money from which that debt is treated as arising for those purposes. Any amount which, in accordance with generally accepted accounting practice, is recorded in— as a finance charge in respect of the advance is to be treated for the purposes of the loan relationship rules and Part 15 of ITA 2007 (deduction of income tax at source) as interest payable under that debt. That interest is to be treated for those purposes as paid at the earlier of— For this purpose “the relevant repurchase” means—
For the purposes of this Schedule a company (“the lender”) has a creditor quasi-repo in any case if— Condition A is that under an arrangement another person receives from the lender any money or other asset (“the advance”). Condition B is that, in accordance with generally accepted accounting practice, the accounts of the lender for the period in which the advance is made record a financial asset in respect of the advance. Condition C is that under that or any other arrangement a person sells any securities at any time to the lender or any other person. Condition D is that the arrangement or other arrangement— For this purpose any arrangement makes “other relevant provision” if it makes provision— Condition E is that, in accordance with generally accepted accounting practice— would extinguish the financial asset in respect of the advance recorded in the accounts of the lender. For the purposes of conditions A to E references to the lender include a partnership of which the lender is a member.
Chapter 2 of Part 4 of FA 1996 (loan relationships) is amended as follows.
ITA 2007 is amended as follows.
Part 4 of FA 2004 (pension schemes etc) is amended as follows.
In relation to contributions under any pension scheme that is not an occupational pension scheme, the amendments made by this Schedule have effect in relation to contributions paid on or after 6th April 2007. But they do not have effect in relation to such contributions paid at any time if the contributions are treated as paid in respect of premiums under a policy of insurance which at that time is a protected policy (see paragraph 5).
Where— it shall be assumed that such a claim is made for the purpose of determining the debits or credits to be brought into account for the purposes of this Chapter in respect of any exchange gains or losses arising in that period in respect of the liability representing that debtor relationship. Section 87(3) and (4) (connection between a company and another person) apply for the purposes of sub-paragraph (7)(b) above as they apply for the purposes of section 87. Where, by virtue of any claim made (or assumed by virtue of sub-paragraph (7) above to be made) under paragraph 6D(2) of Schedule 28AA to the Taxes Act 1988, more than one company is treated for any purpose as having a debtor relationship represented by the same liability— For the purposes of sub-paragraph (9) above— The amendment made by sub-paragraph (1) has effect in relation to loan relationships of any company in accounting periods ending on or after 6th December 2006. But, in relation to an accounting period of any company beginning before that date, that amendment has no effect if the company ceases to be a party to the loan relationship before that date.
But, in the case of a contract which is a derivative contract for the purposes of this Schedule by virtue of paragraph 3(1)(b) (contracts treated for accounting purposes as financial asset or liability), the amounts to be so brought into account as respects the contract must be determined on the basis of fair value accounting. The amendment made by sub-paragraph (1) has effect in relation to periods of account ending on or after 6th March 2007. But, in relation to a period of account beginning before that date, the fair value of the derivative contract at the beginning of that period is to be taken to be the carrying value of the contract recognised for accounting purposes at the beginning of that period. For this purpose “carrying value” has the same meaning as it has for the purposes of paragraph 50A of Schedule 26 to FA 2002.
In section 98 of TMA 1970 (special returns etc), in the Table, omit the entries relating to section 333B of ICTA.
FA 1996 is amended as follows.
FA 2002 is amended as follows.
In ICTA, for section 444AA substitute— In section 12 of ICTA (accounting periods), for subsection (7C) substitute— In— for “444AA(3)” substitute “444AA(4)”. In section 213(10) of TCGA 1992, for “before the transfer” substitute “before the relevant transfer date (within the meaning of that section)”.
In ICTA, for section 444AC substitute— In section 83(2A) of FA 1989 (receipts not to be taken into account), omit paragraph (b).
In FA 1989, omit section 82C (relevant financial reinsurance contracts).
Section 461B of ICTA (exemption of incorporated friendly societies from tax in respect of business which is not life or endowment business) is amended as follows. For subsection (6) substitute— In subsection (7), after “(5)” insert “or (6A)”. Insert at the end—
In section 91C(3) (shares treated as loan relationships: condition 1 for section 91B(6)(b)), for paragraph (f) substitute—.
In section 602(1)(b) (deemed manufactured payments: repos), for “the repurchase price of the securities became due” substitute “the distribution was payable”.
This paragraph specifies when a policy of insurance is a protected policy in a case where the rights under it are held for the purposes of a pension scheme that is not an occupational pension scheme. A policy of insurance within sub-paragraph (3) or (4) is a protected policy but only until a relevant event occurs (see sub-paragraphs (5) and (6)). A policy of insurance is within this sub-paragraph if— A policy of insurance is within this sub-paragraph if— In sub-paragraph (4)(d) “the appropriate date” means— For the purposes of sub-paragraph (2) a “relevant event” occurs if, after the relevant time, the terms of the policy are varied so as to— But where, on the day of the variation, the rights of the individual under the pension scheme included an actual or prospective entitlement to a pension, a relevant event does not occur by virtue of the variation if it was made in pursuance of a proposal made in writing (by whatever means) and received by or on behalf of the insurer before 13th April 2007. “The relevant time”—
In paragraph 12(3) of Schedule 9 (loan relationships: special computational provisions), for “440(4)(a) to (e)” substitute “440(4)(a), (d) and (e)”.
Schedule 12 (tax relief for expenditure on research and development) is amended as follows. Part 3 of this Schedule has effect in relation to any gross roll-up business of the company as if the references to the trade carried on by the company were references to that business (and sub-paragraph (2) does not apply in relation to that business). In paragraph 15(3)—
Section 97 (manufactured interest) is amended as follows. In subsection (4), for “sections 736B(2) and 737A(5) of the Taxes Act 1988 for cases” substitute “section 736B(2) of the Taxes Act 1988 for a case”. After subsection (4A) insert—
In section 607 (treatment of price differences under repos), after subsection (7) insert—
Schedule 11 (loan relationships: special provisions for insurers) is amended as follows. Where an insurance company carries on basic life assurance and general annuity business, a separate computation, using only the non-trading credits and non-trading debits referable to that business, shall be made for the purposes of this Chapter in relation to that business. In paragraph 3A(5)— In paragraph 4—
Schedule 26 (derivative contracts) is amended as follows. In paragraph 12(2), for “section 458” substitute “Chapter 1 of Part 12”. In paragraph 29(1), for “440(4)(a) to (e)” substitute “440(4)(a), (d) and (e)”.
In section 100 (money debts etc not arising from the lending of money), omit subsection (2A).
In section 886(2) (interest paid by recognised clearing houses etc), after “repos)” insert “, or paragraph 5 of Schedule 13 to FA 2007 (relief for borrower for finance charges in case of debtor repos and debtor quasi-repos),”.
For paragraph 15 of Schedule 9 (and the italic cross-heading before it) substitute—
“SE” means an SE formed in accordance with Council Regulation (EC) 2157/2001 on the Statute for a European Company.
Regulations under this section may—
amend the Taxes Acts,
make incidental or consequential amendments of enactments other than the Taxes Acts,
make provision having retrospective effect,
make provision generally or only for specified cases or circumstances,
make different provision for different cases or circumstances,
make incidental, consequential or transitional provision.
In this section “the Taxes Acts” has the meaning given by section 118(1) of TMA 1970.
The Excise Duties (Small Non-Commercial Consignments) Relief Regulations 1986 (S.I. 1986/938) are revoked.
The revocation made by subsection (1) does not apply in relation to goods consigned before the day on which this Act is passed.
In section 1(4)(b) of the Provisional Collection of Taxes Act 1968 (c. 2) (circumstances in which a resolution affecting income tax etc ceases to have effect), for “Standing Committee” substitute “ Public Bill Committee ”.
In section 50(2)(a) of FA 1973 (corresponding provision for stamp duty), for “Standing Committee” substitute “ Public Bill Committee ”.
In this Act—
“judgment” includes order (and “given” includes made).
In TCGA 1992, after section 210B insert—
Chapter 2 of Part 4 of FA 1996 (loan relationships) is amended as follows. In section 103(3) (loan relationships: interpretation), omit “or” at the end of paragraph (a) and after paragraph (b) insertor. In sub-paragraph (1) of paragraph 1A of Schedule 9 (life assurance policies), for the words after “relating to” substitute “liabilities of an insurance company within paragraph (a) of the definition of “liabilities” in section 431(2) of the Taxes Act 1988.”; and the italic heading before that paragraph accordingly becomes “Insurance company liabilities”. In Schedule 11, omit paragraph 1(1A) to (1C).
“internal linked fund”, in relation to an insurance company, means an account— “net value”, in relation to any assets, means the excess of the value of the assets over the value of money debts (within the meaning of Chapter 2 of Part 4 of the Finance Act 1996) attributable to an internal linked fund which are not owed in respect of liabilities; Omit—
Part 3 of Schedule 15 to FA 2000 (requirements as to issuing company) is amended as follows. In paragraph 15 (introduction to Part) after paragraph (f) insert—. After paragraph 22 insert— The amendments made by this paragraph do not have effect in relation to shares issued before the day on which this Act is passed.
Paragraph 18 of Schedule 29 (charity lump sum death benefit) is amended as follows. In sub-paragraph (1)(c), for “income withdrawal to which the member was entitled” substitute “the member’s alternatively secured pension fund (or what would be the member’s alternatively secured pension fund but for paragraph 11(6) and (7) of Schedule 28)”. In sub-paragraph (1)(d), insert at the end “(or, if the member made no nomination, selected by the scheme administrator).” In sub-paragraph (2)(d), for “dependants' income withdrawal to which the member was entitled” substitute “the dependant’s alternatively secured pension fund”. In sub-paragraph (2)(e), for “(or, if the member made no nomination, by the dependant).” substitute “or, if the member made no nomination, by the dependant (or, if neither the member nor the dependant made a nomination, selected by the scheme administrator).” In sub-paragraph (4), after “representing” insert “what is (or but for paragraph 11(6) and (7) of Schedule 28 would be)”.
IHTA 1984 is amended as follows.
In paragraph 4(2)(b) (taxable supplies: introduction), after “paragraph 24” insert “ or 45A ”.
Paragraph 10 of Schedule 29 (winding-up lump sums) is amended as follows. In sub-paragraph (1)(c), for “the member’s employer” substitute “any person by whom the member is employed at the time when the lump sum is paid, and who has made contributions under the pension scheme in respect of the member within the period of five years ending with the day on which it is paid,”. In sub-paragraph (3)—
A variation of the terms of a policy of life insurance made in order to comply with the Employment Equality (Age) Regulations 2006 or Employment Equality (Age) Regulations (Northern Ireland) 2006 (or any regulations amending or replacing them) is to be ignored for the purposes of sub-paragraph (2). Where a policy of life insurance held on 5th April 2006 for the purposes of an occupational pension scheme is surrendered and a new one is taken out— the new policy is to be treated for the purposes of sub-paragraph (2) as if it were the same as the old. For this purpose a policy of life insurance is surrendered and a new one is taken out as part of a retirement-benefit activities compliance exercise if—
In section 393B of ITEPA 2003 (employer-financed retirement benefits schemes: relevant benefits), after subsection (4) insert—
Section 307 of the Criminal Procedure (Scotland) Act 1995 (interpretation) is amended as follows.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TCGA 1992 is amended as follows.
FA 2002 is amended as follows.
Section 151A (person dying with alternatively secured pension fund) is amended as follows. For subsection (2) substitute— In subsection (3)(a), after “death” insert “but reduced by the amount of any previously charged income tax”. After subsection (4) insert— In subsection (5), at the end of the definition of “dependants' unsecured pension” (but before “and”) insert— After that subsection insert—
In paragraph 5(3) (supplies of electricity), for “or 24” substitute “ , 24 or 45A ”.
In subsection (1), in the definition of “officer of law”, for paragraph (ba) substitute—.
In section 204(10) (policies of insurance and non-deferred annuities)—
for “as defined in section 458(3)” substitute “within the meaning of Chapter 1 of Part 12”, and
omit “other”.
In paragraph 13(1) of Schedule 12 (tax relief on R&D: special provisions for insurance companies), for “the profits arising to a company from its life assurance business are not charged to corporation tax under Case I of Schedule D” substitute “an insurance company is charged to tax under the I minus E basis in respect of its life assurance business”.
Section 151B (relevant dependant with pension fund inherited from member over 75) is amended as follows. In subsection (1)(b), after “before his death” insert “(or would have but for paragraph 11(6) and (7) of Schedule 28 to the Finance Act 2004)”. Omit subsection (5).
In paragraph 6(2A) (supplies of gas), after “24” insert “ or 45A ”.
After that subsection insert—
In section 210B—
omit paragraph (b) of subsection (6) and the word “or” before it, and
in subsection (8) (disposal and acquisition of section 440A securities), in the definition of “chargeable section 440A holding”, for “(2)(a)(iii)” substitute “(2)(a)(i)”.
In Schedule 29 (gains and losses of a company from intangible fixed assets), omit paragraph 36(6) (meaning of I minus E basis).
After that section insert—
Paragraph 34 (other commodities: deemed supplies) is amended as follows. In sub-paragraph (1)(b), for “or 24” substitute “ , 24 or 45A ”. After sub-paragraph (3) insert—
In section 212(2) (annual deemed disposal of holdings of certain assets), for the words from “pension business” to the end substitute “gross roll-up business”.
Section 151C (dependant dying with other pension fund) is amended as follows. For subsection (2) substitute— In subsection (3)(a), after “death” insert “but reduced by the amount of any previously charged income tax”. After that subsection insert— “previously untaxed dependant’s alternatively secured pension fund amount” means so much of the aggregate mentioned in subsection (3)(a) above as has not given rise to any liability to tax by virtue of Part 4 of the Finance Act 2004 before tax is charged on the transfer treated as made by the dependant on death.
In paragraph 39(1)(c) (regulations as to time of supply), for “or 24” substitute “ , 24 or 45A ”.
In section 213(1A) (spreading of gains and losses under section 212), omit the words following “general annuity business”.
In section 216(6)(ac) (delivery of account)—
after “occurs” insert “, the scheme administrator becomes aware of the death”, and
insert at the end “(depending on which occasions the charge)”.
For paragraph 44 substitute—
In section 226(4) (payment), after “Act” insert “, or under section 151A above by virtue of subsection (6) of that section,”.
Paragraph 45 (reduced-rate supplies: variation of notices under paragraph 44) is amended as follows. Omit sub-paragraphs (2) to (4). In sub-paragraph (5)— In sub-paragraph (6)— In sub-paragraph (7), for the words from “the original notice” to the end substitutethe original certificate has effect as if the last day of the period specified for the facility in the original certificate were the later of— The italic heading before that paragraph accordingly becomes “ Reduced-rate supplies: variation of certificates under paragraph 44 ”.
In section 233(1)(c) (interest on unpaid tax), after “Act” insert “, or under section 151A above by virtue of subsection (6) of that section,”.
After that paragraph insert—
In Schedule 2 (provisions applying on reduction of tax), omit paragraph 6A.
In paragraph 147 (interpretation), in the definition of “reduced-rate supply”—
for “44(3)” substitute “ 44(1) ”, and
for “44(4)” substitute “ 44(2) ”.
“TCGA 1992” means the Taxation of Chargeable Gains Act 1992 (c. 12),
Section 460 of ICTA (exemption from tax in respect of life or endowment business) is amended as follows. In subsection (10A), after “the transfer” insert “, other than any to which subsection (11) or (12) below applied immediately before the transfer had effect,”. In subsection (11), for “thereafter continue to be tax exempt life or endowment business for the purposes of this Chapter.” substitute “continue to be exempt from corporation tax (whether on income or chargeable gains) on profits arising from it.” For subsection (12) substitute— Insert at the end—
This paragraph applies if— Paragraph 10 is to have effect as if— In this paragraph “the applicable accounting assumption” is the assumption that, in accordance with generally accepted accounting practice, the accounts of the company (or the partnership of which it is a member) for the period in which the advance is made record a financial asset in respect of the advance.
The Treasury may by regulations provide for all or any of the provisions of this Schedule to apply with modifications in relation to either or both of the following cases— A case is a non-standard repo case if— Condition A is that those securities, or similar or other securities, are not subsequently bought under the arrangement or arrangements. Condition B is that provision is made by or under an arrangement for different or additional securities to be treated as, or as included with, securities which, for the purposes of the subsequent purchase, are to represent those initially sold. Condition C is that provision is made by or under an arrangement for securities to be treated as not so included. A case involves redemption arrangements if— The regulations may— Regulations about paragraph 6 or 11 may, in particular, include modifications of TCGA 1992 in relation to cases where, as a result of the regulations, any acquisition or disposal is excluded from those which are to be ignored for the purposes of corporation tax in respect of chargeable gains. In this paragraph—
For the purposes of this Schedule a company (“the borrower”) has a debtor quasi-repo in any case if— Condition A is that under an arrangement the borrower receives any money or other asset (“the advance”). Condition B is that, in accordance with generally accepted accounting practice, the accounts of the borrower for the period in which the advance is received record a financial liability in respect of the advance. Condition C is that under that or any other arrangement the borrower or any other person sells any securities at any time. Condition D is that the arrangement or other arrangement— For this purpose any arrangement makes “other relevant provision” if it makes provision— Condition E is that, in accordance with generally accepted accounting practice— would extinguish the financial liability in respect of the advance recorded in the accounts of the borrower. For the purposes of conditions A to E references to the borrower include a partnership of which the borrower is a member.
This paragraph applies if— The sale of the securities, and the subsequent purchase of those or similar securities, by the borrower under the arrangement are to be ignored for the purposes of corporation tax in respect of chargeable gains (but see sub-paragraph (5)). If at any time after the initial sale of the securities— the borrower is to be treated for the purposes of corporation tax in respect of chargeable gains as disposing of the securities at that time for a consideration equal to their market value at that time. The accounting condition ceases to be met if, in accordance with generally accepted accounting practice, the accounts of the borrower for any period after the one in which the advance is received do not record a financial liability in respect of the advance (except as a result of the subsequent purchase of the securities or similar securities). If sub-paragraph (3) applies because the accounting condition ceases to be met, any subsequent purchase of those or similar securities by the borrower under the arrangement is not to be ignored for the purposes of corporation tax in respect of chargeable gains as a result of this paragraph. For the purposes of this paragraph references to the borrower include a partnership of which the borrower is a member.
This paragraph applies if a company (“the lender”) has a creditor repo or a creditor quasi-repo. For the purposes of the charge to corporation tax in respect of income of the lender arising while the arrangement is in force, the Corporation Tax Acts have effect as if— But— Nothing in sub-paragraph (3)(b) affects the question whether (apart from that provision) the payment (or any part of it) may be deducted in calculating any income for corporation tax purposes or against total profits.
Part 4 of FA 2004 (pension schemes etc) is amended as follows.
Section 636A of ITEPA 2003 (exemption for certain lump sums under registered pension schemes) is amended as follows. In subsection (1)— In subsection (7), omit ““transfer lump sum death benefit”,”.
In section 168(1) (lump sum death benefit rule), omit paragraph (g) (transfer lump sum death benefit).
Schedule 6 to FA 2000 (climate change levy) is amended as follows.
Section 154 (persons by whom registered pension scheme may be established) is amended as follows. For subsection (1) substitute— After subsection (2) insert— Omit subsection (3). In subsection (4), omit “and section 155”.
In section 58 of IHTA 1984 (settlements: “relevant property”), after subsection (2) insert—
Schedule 28 (pension rules) is amended as follows. In paragraph 2(4) (scheme pensions: cases where cessation or reduction of pension is permitted), for paragraph (a) substitute—. In paragraph 2A(2) (certain reductions not permitted if part of avoidance arrangements), for “the rate of which is reduced in accordance with paragraph (b) of sub-paragraph (4) of paragraph 2 but” substitute “which is reduced in accordance with paragraph (a) of sub-paragraph (4) of paragraph 2, or the rate of which is reduced in accordance with paragraph (b) of that sub-paragraph, and”.
P is liable under paragraph 1(1)(a) where a document which contains a careless inaccuracy (within the meaning of paragraph 3) is given to HMRC on P’s behalf. In paragraph 2(1)(b) and (2)(a) a reference to P includes a reference to a person who acts on P’s behalf in relation to tax. Despite sub-paragraphs (1) and (2), P is not liable to a penalty in respect of anything done or omitted by P’s agent where P satisfies HMRC that P took reasonable care to avoid inaccuracy (in relation to paragraph 1) or unreasonable failure (in relation to paragraph 2). In paragraph 3(1)(a) (whether in its application to a document given by P or, by virtue of sub-paragraph (1) above, in its application to a document given on P’s behalf) a reference to P includes a reference to a person who acts on P’s behalf in relation to tax. In paragraph 3(2) a reference to P includes a reference to a person who acts on P’s behalf in relation to tax.
P is not liable to a penalty under paragraph 1 or 2 in respect of an inaccuracy or failure in respect of which P has been convicted of an offence.
Section 85C of FA 1996 (amounts not fully recognised for accounting purposes) is amended as follows. In subsection (1)— In subsection (2)— The amendments made by this paragraph have effect in relation to periods of account ending on or after 9th May 2007. But, in relation to periods of account beginning before that date, amounts are to be brought into account for the purposes of Chapter 2 of Part 4 of FA 1996 as a result of those amendments only if the amounts relate to any time on or after that date.
Paragraph 4 of Schedule 10 to FA 1996 (company holdings in unit trusts and offshore funds) is amended as follows. In sub-paragraph (2) (relevant holding treated as rights under creditor relationship), for “and (4)” substitute “to (5)”. In determining the debits and credits under sub-paragraph (3) there shall be left out of account amounts relating to any investment or liability of the scheme or fund where— The relevant avoidance intention is the intention of— In the case of amounts relating to investments, the amendments made by this paragraph have effect in relation to accounting periods ending on or after 6th March 2007. But in that case, in relation to accounting periods beginning before that date, amounts are to be left out of account as a result of those amendments only if they relate to any time on or after that date. In the case of amounts relating to liabilities, those amendments have effect in relation to accounting periods ending on or after 9th May 2007. But in that case, in relation to accounting periods beginning before that date, amounts are to be left out of account as a result of those amendments only if they relate to any time on or after that date.
Paragraph 26 of Schedule 26 to FA 2002 (transfers of value to connected companies) is amended as follows. In sub-paragraph (1)(a) (transfer of value between connected companies as a result of expiry of option), for “the expiry of an option of a company which, until its expiry,” substitute “the failure to exercise in full all the rights under an option of a company which, until that failure,”. In sub-paragraph (2) (rules for determining whether there is a transfer of value)— In sub-paragraph (3) (transferor to bring into account amount in respect of the option), for “the expiry of the option” substitute “an option”. In sub-paragraph (4) (period in which amount is to be brought into account and the amount to be brought into account)— The amendments made by this paragraph have effect in relation to any failure on or after 6th March 2007 to exercise in full all the rights under an option.
Section 464 of ICTA (maximum benefits payable to members) is amended as follows. For the first sentence of subsection (1) substitute— In subsection (3), for the words preceding the paragraphs substitute “With respect to contracts for the assurance of gross sums under business which is afforded exemption from corporation tax by section 460, a person is not entitled to have outstanding at any time with any one or more friendly societies, registered branches or insurance companies—”. In subsection (4A), for “tax exempt life or endowment business” substitute “business which is afforded exemption from corporation tax by section 460 if they are”. In subsection (6), for “member has outstanding with one or more society or branch” substitute “person has outstanding with one or more societies, branches or companies”. In subsection (7)—
Omit section 172B(5)(a) (reduction for transfer lump sum death benefit).
Omit section 155 (persons by whom scheme may be established: supplementary).
In section 466(2) of ICTA, in the definition of “tax exempt life or endowment business”, for “(11)” substitute “(10A)”.
In section 188(5) (amounts not to be treated as contributions), omit paragraph (b) and the word “and” before it.
In section 273 (members liable as scheme administrator)—
in subsection (5)(a), omit “was established by a person or body specified in section 154(1)(a) to (g) (insurance companies etc) and”, and
in subsection (7), omit “was established by a person or body specified in section 154(1)(a) to (g) and”.
In section 280(2) (index), omit the entry relating to transfer lump sum death benefit.
In Schedule 29, omit paragraph 19 (transfer lump sum death benefit).
In paragraph 17A of Schedule 36 (“enhanced protection”)—
in sub-paragraph (1), insert “or” after paragraph (a) and omit paragraph (c) and the word “or” before it, and
in sub-paragraph (2), omit “, or to a transfer lump sum death benefit being paid,”.
“VERA 1994” means the Vehicle Excise and Registration Act 1994 (c. 22).
“designated office of Revenue and Customs” has the meaning given by an order under section 114 of the Police and Criminal Evidence Act 1984 (c. 60) (power to extend provisions to HMRC) or, in Northern Ireland, by an order under Article 85 of the Police and Criminal Evidence (Northern Ireland) Order 1989 (S.I. 1989/1341 (N.I. 12)) (power to extend Order to HMRC).
This paragraph applies if a general insurer makes any technical provisions for a period of account. The amount of the technical provisions stated in the accounts for that period is to be taken into account in the calculation for tax purposes of the profits of the general insurer’s trade for that period unless an officer of Revenue and Customs considers that that amount exceeds the appropriate amount. In that case— “The appropriate amount” means such amount as is determined in accordance with regulations made by the Commissioners for Her Majesty’s Revenue and Customs to be the appropriate amount to be taken into account in that calculation. Any such determination must be made by reference to the time at which the technical provisions are made.
In FA 2000, omit section 107 (general insurance reserves).
In section 229(1)(ca) of FA 1994 (Lloyd’s corporate members: regulations), for sub-paragraph (ii) substitute—.
Chapter 4 of Part 5 of ITA 2007 (the issuing company) is amended as follows. In section 180 (overview of Chapter 4), after paragraph (e) insert—. After section 186 insert— The amendments made by this paragraph do not have effect in relation to— For the purposes of sub-paragraph (4)(b)—
Paragraph 11 (exemption: supply not for burning in UK) is amended as follows. In sub-paragraph (1)— In sub-paragraph (3)—
In section 343 of ICTA (company reconstructions without change of ownership), in subsection (2) (continuity of treatment for capital allowances), insert at the end “and are subject to section 343A (company reconstructions involving business of leasing plant or machinery)”. After that section insert— Subsection (2) of section 343A of ICTA (as inserted by sub-paragraph (2) above) has effect in relation to cessations occurring on or after 22nd November 2006. But, if the cessation occurs before 21st March 2007, that subsection has effect as if for paragraphs (a) and (b) there were substituted “on that day each company which is a principal company of the predecessor is also a principal company of the successor”. Subsection (3) of section 343A of ICTA has effect in relation to cessations occurring on or after that date.
An unused non-pension business loss of an insurance company (see paragraph 83) is to be treated as if it were a loss incurred by the company on its gross roll-up business in the period of account immediately preceding the commencement period. Subsections (4) and (5) of section 436A of ICTA accordingly apply to the loss, but subject to sub-paragraph (3) (and to subsection (7) of that section). The amount by which an insurance company’s profits charged under that section in a period of account are to be treated as reduced under subsection (4)(b) of that section is to be determined— (before giving effect to subsection (4)(b) in respect of losses incurred by the company on its gross roll-up business in post-commencement periods).
TCGA 1992 is amended as follows. In section 211 (application of section 139), for subsections (2) and (2A) substitute— In section 35(3)(d) (re-basing: exceptions), after “171,” insert “211,”.
The amendments made by paragraphs 1 to 3 and 13 to 15 have effect in relation to periods of account beginning on or after 1st January 2007. The amendments made by paragraphs 4, 6 to 9, 10(3) to (5), 11 and 12 have effect in accordance with provision made by an order made by the Treasury. But the amendments made by paragraphs 11 and 12 also have effect in relation to periods of account beginning on or after 1st January 2007 where the transfer of business or demutualisation concerned took place before 21st March 2007. The amendment made by paragraph 5 has effect in relation to transfers of business with a transfer date after 21st March 2007. The amendment made by paragraph 10(2) has effect in relation to transfers taking place on or after 6th December 2006.
Paragraph 101 (civil penalties: incorrect notifications etc) is amended as follows. Omit sub-paragraph (1). In sub-paragraph (2)— In sub-paragraph (3)— In sub-paragraph (4)— In sub-paragraph (5)— The italic heading before paragraph 101 accordingly becomes “ Civil penalties: incorrect certificates ”.
In paragraph 82 “unused non-pension business loss”, in relation to an insurance company, means the aggregate of the following amounts— In this paragraph “unexhausted individual savings account business loss”, in relation to an insurance company, means so much of any losses incurred by the company on its individual savings account business in any pre-commencement period as were not set off by virtue of a relevant provision (see sub-paragraph (6)) against profits in any such period. In this paragraph “unexhausted child trust fund business loss”, in relation to an insurance company, means so much of any losses incurred by the company on its child trust fund business in any pre-commencement period as were not set off by virtue of a relevant provision against profits in any such period. In this paragraph “unexhausted life reinsurance business loss”, in relation to an insurance company, means so much of any losses incurred by the company on its life reinsurance business in any pre-commencement period as were not set off under section 439B(3)(c) of ICTA against profits in any such period. In this paragraph “unexhausted overseas life assurance business loss”, in relation to an insurance company, means so much of any losses incurred by the company on its overseas life assurance business in any pre-commencement period as were not set off under section 441(4)(b) of ICTA against profits in any such period. In this paragraph “relevant provision” means—
In this Act— “FA”, followed by a year, means the Finance Act of that year, and “F(No.2)A”, followed by a year, means the Finance (No.2) Act of that year.
Schedule 27 contains repeals.
This Act may be cited as the Finance Act 2007.
Section 8
The sections set out below are to be inserted in Part 2 of BGDA 1981 (gaming duties) before section 26A (which is renumbered 26N).
Those sections are—
In BGDA 1981, before section 26N (non-sterling amounts) (as renumbered by paragraph 1 above) insert the italic cross-heading “ General ”.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
In section 32 of that Act (subordinate legislation), after subsection (2) insert—
In section 33(2) of that Act (no legalising effect), after “bingo duty” insert “ , remote gaming duty ”.
Section 23
Paragraphs 2 to 10 come into force on such day as the Treasury may by order made by statutory instrument appoint. But any power to make regulations under any provision inserted or amended by any of those paragraphs may be exercised at any time after this Act is passed. The power to make an order under sub-paragraph (1)—
ICTA has effect, in relation to any loss made by an individual in a trade in the tax year 2006-07 the basis period for which ends on or after 2nd March 2007, as if provision corresponding to section 103C of ITA 2007 were included in Chapter 7 of Part 4 of ICTA. Sub-paragraphs (3) to (13) of paragraph 1 apply for the purposes of sub-paragraph (1) above. ICTA has effect for the tax year 2006-07 as if provision corresponding to section 113A of ITA 2007 were included in that Chapter. Sub-paragraphs (2) to (4) of paragraph 2 apply for the purposes of sub-paragraph (3) above. The provisions which are treated by this paragraph as included in Chapter 7 of Part 4 of ICTA have effect as if— and references in paragraphs 1(3) to (13) and 2(2) to (4) to any of those expressions are to be read accordingly.
Section 25
ITEPA 2003 is amended as follows.
In section 7(5) (meaning of “employment income” etc), for paragraph (a) substitute—.
In section 48(2) (workers under arrangements made by intermediaries: scope of Chapter) for “or” at the end of paragraph (a) substitute—.
After section 61 insert—
In section 218(1) (exclusion of lower-paid employments from parts of benefits code: calculation of earnings rate), in Step 1, at the end of paragraph (d) insertand
After section 688 insert—
In section 717(4) (orders and regulations not subject to negative procedure), insert at the end “ or section 688A(7) (PAYE regulations: managed service companies) ”.
associate (in Chapter 9 of Part 2) section 61I (but see section 61C(4)) business (in Chapter 9 of Part 2) section 61J the client (in Chapter 9 of Part 2) section 61D(4) employer's national insurance contributions (in Chapter 9 of Part 2) section 61J managed service company (in Chapter 9 of Part 2) section 61B national insurance contributions (in Chapter 9 of Part 2) section 61J PAYE provisions (in Chapter 9 of Part 2) section 61J the relevant services (in Chapter 9 of Part 2) section 61D(4) the worker (in Chapter 9 of Part 2) section 61D(4)
Section 26
Section 30
ICTA is amended as follows.
In section 749A of ICTA (elections and designations under section 749: supplementary provisions), insert at the end—
In section 756 of ICTA (interpretation and construction of Chapter 4 of Part 17), after subsection (1) insert—
In paragraph 44(3) of Schedule 18 to FA 1998 (discovery assessment: situation not disclosed by return or related documents etc), in the definition of “relevant claim”, insert at the end “or an application under section 751A of the Taxes Act 1988 made by or on behalf of the company which affects the company’s tax return for the period in question”.
Section 306 of ITA 2007 (qualifying holdings) is amended as follows. In subsection (4), for paragraphs (a) and (b) substitute— In subsection (6), omit the definition of “holding company”. After that subsection insert—
In section 301 of ITA 2007, after subsection (1) insert—
Chapter 3 of Part 6 of ITA 2007 (VCT approvals) is amended as follows. In section 274(3) (requirements for the giving of approval), at the end of paragraph (d) insert, and. After section 280 insert— This paragraph is deemed to have come into force on 6th April 2007. The amendments made by this paragraph have effect in relation to disposals made on or after that date.
Chapter 4 of Part 6 of ITA 2007 (qualifying holdings) is amended as follows. In section 286(3) (introduction) after paragraph (e) insert—. After section 292 insert— This paragraph is deemed to have come into force on 6th April 2007. The amendments made by this paragraph do not have effect in relation to an investment made by a VCT of protected money. “Protected money” means—
In section 116 of FA 1991 (stamp duty: investment exchanges and clearing houses), subsection (4) is amended as follows. After “In this section—” insert—. In paragraph (b) (definition of “recognised investment exchange”), after “2000” insert “, a regulated market within the meaning of the Directive or a multilateral trading facility within the meaning of the Directive”.
Schedule 1 (enforcement) is amended as follows. Omit paragraph 7 (production of documents etc relating to general betting business or pool betting business). In paragraph 15 (cancellation of betting office licence)—
In section 24(4) (lotteries in respect of which lottery duty not chargeable)—
in the opening words, for “not chargeable in respect” substitute “not chargeable (in Great Britain) in respect of a lottery which is an exempt lottery within the meaning of the Gambling Act 2005 (see section 258) or (in Northern Ireland) in respect”,
in paragraph (a), omit “the Lotteries and Amusements Act 1976 or”,
in paragraph (b), omit “Act or”,
in paragraph (c), omit “Act or” and “section 5(3) of that Act or”, and
omit paragraph (d).
Section 10 (charge to gaming duty) is amended as follows. In subsection (3)— After that subsection insert— In subsection (4), for the words from “any gaming” to the end substituteany gaming which takes place on any premises in Great Britain of—
Schedule 1 (gaming duty: administration, enforcement etc) is amended as follows. “casino premises licence” has the same meaning as in Part 8 of the Gambling Act 2005 (see section 150(1)(a)); “club gaming permit” has the same meaning as in that Act (see section 271); In sub-paragraph (2) of that paragraph, for paragraphs (a) and (b) substitute— In paragraph 3(4)(a) (registrable persons: holders of licences under the Gaming Act 1968)— In paragraph 6 (notification of premises)— In paragraph 14 (disclosure of information)—
In section 5B(3)(a) (liability to pay general betting duty), for “bookmaker’s permit” substitute “general betting operating licence (in Great Britain), or a bookmaker’s permit (in Northern Ireland),”.
In section 20A(1) (meaning of “combined bingo”), omit paragraph (a) (together with the “or” following it).
ICTA is amended as follows. In section 347A(1) (annual payments: general rule), as it had effect before ITA 2007, omit paragraph (b) together with the “and” before it (payment to which section applies not income of any company for corporation tax purposes). The amendment made by sub-paragraph (2) has effect in relation to payments made on or after 6th December 2006 but before 6th April 2007. Omit section 347A (as amended by ITA 2007). The amendment made by sub-paragraph (4) has effect in relation to payments made on or after 6th April 2007.
In section 171(2) of TCGA 1992 (exceptions to rule that disposals within the same group of companies produce neither a gain nor a loss), after paragraph (da) insertor. The amendment made by sub-paragraph (1) has effect in relation to cases where the option is exercised on or after 6th March 2007 (whenever the option was granted).
This paragraph applies where— The amount of the losses available to be set off under section 393 of ICTA against the profits of the first accounting period is the amount of any loss under section 436, 439B or 441 of ICTA carried forward to that period by virtue of Part 2 of Schedule 7 to this Act.
FA 1989 is amended as follows. Omit— In section 83B(3) (changes in recognised accounts: attribution of amounts carried forward), for “83AB” substitute “83ZA”.
Section 444A of ICTA (transfers of business: expenses, losses and section 432F(2) excesses) is amended as follows. In subsection (1), omit “Subject to subsection (7) below,”. Omit—
In ICTA, after section 444ABC (inserted by paragraph 4) insert—
In ICTA, before section 444AF (and the italic cross-heading before it) insert— In section 432E(2A) of ICTA (as amended by paragraph 4(2)), after “444ABC,” insert “444AEA,” and after paragraph (aa) insert—.
Section 231AA (no tax credit for borrower under stock lending arrangement or interim holder under repurchase agreement) is amended as follows. In subsection (1)— For subsection (3) substitute— In subsection (4), omit “or 737A(5)”. After that subsection insert—
In section 660C of ICTA, omit subsection (4) (income which is income of settlor alone for income tax purposes by virtue of section 624 or 629 of ITTOIA 2005 not income of any company for corporation tax purposes). The amendment made by sub-paragraph (1) has effect in relation to accounting periods ending on or after 6th March 2007. But income which arises in an accounting period beginning before that date is to be chargeable to corporation tax as a result of that amendment only if it arises on or after that date.
In section 436A(3) of ICTA (gross roll-up business), for “83AB” substitute “83ZA”.
Section 231AB (no tax credit for original owner under repurchase agreement in respect of certain manufactured dividends) is amended as follows. In subsection (1), for paragraphs (a) to (c) substitute— For subsection (2) substitute—
Omit sections 730A and 730B (treatment of price differential on sale and repurchase of securities).
Omit section 730BB (exchange gains and losses on sale and repurchase of securities).
Section 731 (purchase and sale of securities: application and interpretation of sections 732 to 734) is amended as follows. In subsection (2A)— For subsection (2F) substitute—
Omit sections 737A to 737C (sale and repurchase of securities: deemed manufactured payments).
Omit section 737E (power to modify sections 730A, 730BB and 737A to 737C).
In section 774E(4) (exceptions to sections 774B and 774D), for paragraph (b) (together with the “or” at the end of it) substitute—.
In section 807A (disposals and acquisitions of company loan relationships with or without interest), for subsection (6A) substitute—
Part 5 of ITA 2007 is amended as follows. In section 172 (overview of Chapter), after paragraph (a) insert—. After section 173 insert— In section 239(1) (withdrawal etc of relief: date from which interest is chargeable), in column 1 of the Table, after “163,” insert “173A”. The amendments made by this paragraph do not have effect in relation to shares issued to the managers of an approved fund which closed before the day on which this Act is passed. Paragraph 2(5) (meaning of “the managers of an approved fund” etc) applies for the purposes of sub-paragraph (5).
This paragraph applies for the purposes of— References to investments made by a VCT do not include— References to shares in respect of which compliance statements are provided do not include— Paragraph 2(5) (meaning of “the managers of an approved fund” etc) applies for the purposes of sub-paragraph (3)(b) above.
Section 172B (increase in rights of connected person on death) is amended as follows. In subsection (2)(b), for “, alternatively secured pension fund, dependant’s unsecured pension fund or dependant’s alternatively secured” substitute “or dependant’s unsecured”. In subsection (4), for “(6)” substitute “(5)”. In subsection (7)(a), after “there” insert “are”. After subsection (8) insert—
In section 268(6) (unauthorised payments surcharge and scheme chargeable payments), for “(assignment)” substitute “, 172A, 172B, 172BA, 172C or 172D or arises under section 181A”.
In section 167(1) (pension death benefit rules), in pension death benefit rule 6 (maximum dependants' alternatively secured pension), for “70%” substitute “90%”.
Where P becomes liable for a penalty under paragraph 1 or 2 HMRC shall— An assessment— An assessment of a penalty under paragraph 1 must be made within the period of 12 months beginning with— An assessment of a penalty under paragraph 2 must be made within the period of 12 months beginning with the end of the appeal period for the assessment of tax which corrected the understatement. For the purpose of sub-paragraphs (3) and (4) a reference to an appeal period is a reference to the period during which— Subject to sub-paragraphs (3) and (4), a supplementary assessment may be made in respect of a penalty if an earlier assessment operated by reference to an underestimate of potential lost revenue.
Section 91A of FA 1996 (shares subject to outstanding third party obligations) is amended as follows. In subsection (4) (debits in respect of certain transactions to be ignored), for “No debits are to be brought into account” substitute “In determining those debits and credits there are to be left out of account amounts”. Insert at the end— The amendment made by sub-paragraph (2) has effect in relation to accounting periods ending on or after 6th March 2007. But, in relation to accounting periods beginning before that date, amounts are to be left out of account as a result of that amendment only if they relate to any time on or after that date. The amendment made by sub-paragraph (3) has effect in relation to shares held on or after 6th March 2007.
Chapter 17 of Part 2 of CAA 2001 (plant and machinery allowances: anti-avoidance) is amended as follows. In section 228A(2) (application of sections 228B to 228D in case of a lease and finance leaseback), for “Sections 228B to 228D” substitute “Sections 228B and 228C”. In section 228F (lease and finance leaseback)— In section 774E(5)(b) of ICTA (structured finance arrangements: exceptions), for “sections 228B to 228D” substitute “sections 228B and 228C”. The amendments made by this paragraph have effect in relation to post-commencement rentals that fall to be taken into account in calculating for tax purposes the income or profits for any post-commencement period of account. In this paragraph— For this purpose the “appropriate fraction”, in relation to any amount received in respect of any period, means the fraction— where— “PCP” means the number of days in the part of the period falling on or after 6th December 2006, and “WP” means the number of days in the whole of the period. Sub-paragraph (9) applies if the amounts that, in accordance with section 228D of CAA 2001 as applied by section 228F of that Act, fall to be taken into account in calculating for tax purposes the income or profits for any post-commencement period of account comprise both post-commencement rentals and other amounts. For the purposes of section 228D of CAA 2001 as applied by section 228F of that Act, the amount of the gross earnings is taken to be so much of the gross earnings as, on a just and reasonable basis, relates to those other amounts.
In paragraph 7A(10) of Schedule 23A to ICTA (manufactured payments under arrangements having an unallowable purpose), in the definition of “manufactured payment”, after paragraph (c) insert—. The amendment made by sub-paragraph (1) has effect in relation to payments made (or treated as made) on or after 6th December 2006. But, in the case of any payment made (or treated as made) by a company in pursuance of old arrangements, that amendment has no effect in relation to so much of the payment as (on such just and reasonable apportionments as may be necessary) represents any old taxable income or gains arising or accruing to the company as a result of those arrangements. For this purpose—
A loss incurred by an insurance company in a pre-commencement period may not be set off against profits of the company chargeable under section 436A of ICTA in a post-commencement period, except in accordance with this Part of this Schedule. In this Part of this Schedule— Expressions which are— have the same meaning in this Part of this Schedule in relation to that accounting period as they have in that Chapter (as that Chapter has effect in relation to that period of account).
After that section insert—
Section 91B of FA 1996 (non-qualifying shares) is amended as follows. In subsection (4) (debits in respect of certain transactions to be ignored), for “no debits are to be brought into account” substitute “in determining those debits and credits there are to be left out of account amounts”. Insert at the end— The amendment made by sub-paragraph (2) has effect in relation to accounting periods ending on or after 6th March 2007. But, in relation to accounting periods beginning before that date, amounts are to be left out of account as a result of that amendment only if they relate to any time on or after that date. The amendment made by sub-paragraph (3) has effect in relation to shares held on or after 6th March 2007.
In section 103(1) of FA 1996 (interpretation of Chapter 2 of Part 4), in the definition of “share”, before “, in relation to a company,” insert “(except in sections 91A to 91G)”. The amendment made by sub-paragraph (1) has effect in relation to shares held on or after 6th March 2007.
Section 31
Section 38
The amendment made by sub-paragraph (2) of paragraph 1, so far as relating to section 460(11) of ICTA, and the amendments made by sub-paragraph (3) of that paragraph and paragraph 3 are deemed always to have had effect. The amendments made by paragraph 2 have effect in relation to contracts made after the passing of this Act. The amendment made by sub-paragraph (2) of paragraph 1, so far as relating to section 460(12) of ICTA, and the amendments made by sub-paragraph (4) of that paragraph and paragraphs 4(2) and (3) and 5(2) and (3) have effect in relation to transfers of engagements and conversions taking place on or after the day on which this Act is passed.
In section 188(3) (relief for members' contributions: contributions which are not relievable pension contributions), after paragraph (a) insert—.
A penalty is payable by a person (P) where— Condition 1 is that the document contains an inaccuracy which amounts to, or leads to— Condition 2 is that the inaccuracy was careless or deliberate (within the meaning of paragraph 3). Where a document contains more than one inaccuracy, a penalty is payable for each inaccuracy. Tax Document Income tax or capital gains tax Return under section 8 of TMA 1970 (personal return). Income tax or capital gains tax Return under section 8A of TMA 1970 (trustee’s return). Income tax or capital gains tax Return, statement or declaration in connection with a claim for an allowance, deduction or relief. Income tax or capital gains tax Accounts in connection with ascertaining liability to tax. Income tax or capital gains tax Partnership return. Income tax or capital gains tax Statement or declaration in connection with a partnership return. Income tax or capital gains tax Accounts in connection with a partnership return. Income tax Return for the purposes of PAYE regulations. Construction industry deductions Return for the purposes of regulations under section 70(1)(a) of FA 2004 in connection with deductions on account of tax under the Construction Industry Scheme. Corporation tax Company tax return under paragraph 3 of Schedule 18 to FA 1998. Corporation tax Return, statement or declaration in connection with a claim for an allowance, deduction or relief. Corporation tax Accounts in connection with ascertaining liability to tax. VAT VAT return under regulations made under paragraph 2 of Schedule 11 to VATA 1994. VAT Return, statement or declaration in connection with a claim. Income tax, capital gains tax, corporation tax or VAT Any document which is likely to be relied upon by HMRC to determine, without further inquiry, a question about— P’s liability to tax, payments by P by way of or in connection with tax, any other payment by P (including penalties), or repayments, or any other kind of payment or credit, to P.
P may appeal against a decision of HMRC that a penalty is payable by P. P may appeal against a decision of HMRC as to the amount of a penalty payable by P. P may appeal against a decision of HMRC not to suspend a penalty payable by P. P may appeal against a decision of HMRC setting conditions of suspension of a penalty payable by P.
Where P is liable to a penalty in respect of more than one inaccuracy, and the calculation of potential lost revenue under paragraph 5 in respect of each inaccuracy depends on the order in which they are corrected— In calculating potential lost revenue where P is liable to a penalty in respect of one or more understatements in one or more documents relating to a tax period, account shall be taken of any overstatement in any document given by P which relates to the same tax period. In sub-paragraph (2)— For the purposes of sub-paragraph (2) overstatements shall be set against understatements in the following order— In calculating potential lost revenue in respect of a document given by or on behalf of P no account shall be taken of the fact that a potential loss of revenue from P is or may be balanced by a potential over-payment by another person (except to the extent that an enactment requires or permits a person’s tax liability to be adjusted by reference to P's).
A person discloses an inaccuracy or a failure to disclose an under-assessment by— Disclosure— In relation to disclosure “quality” includes timing, nature and extent.
ICTA is amended as follows.
Where there is a subsection (2) excess (within the meaning of section 432F of ICTA) for any category of business of an insurance company in the period of account immediately preceding the commencement period it shall be taken to be, or form part of, the subsection (2) excess falling to be carried forward under subsection (3) of that section (as amended by this Schedule) and used in a post-commencement period.
Where a person who would otherwise be liable to a 30% penalty has made an unprompted disclosure, HMRC shall reduce the 30% to a percentage (which may be 0%) which reflects the quality of the disclosure. Where a person who would otherwise be liable to a 30% penalty has made a prompted disclosure, HMRC shall reduce the 30% to a percentage, not below 15%, which reflects the quality of the disclosure. Where a person who would otherwise be liable to a 70% penalty has made an unprompted disclosure, HMRC shall reduce the 70% to a percentage, not below 20%, which reflects the quality of the disclosure. Where a person who would otherwise be liable to a 70% penalty has made a prompted disclosure, HMRC shall reduce the 70% to a percentage, not below 35%, which reflects the quality of the disclosure. Where a person who would otherwise be liable to a 100% penalty has made an unprompted disclosure, HMRC shall reduce the 100% to a percentage, not below 30%, which reflects the quality of the disclosure. Where a person who would otherwise be liable to a 100% penalty has made a prompted disclosure, HMRC shall reduce the 100% to a percentage, not below 50%, which reflects the quality of the disclosure.
An appeal may be brought to—
the General Commissioners, in so far as the penalty relates to direct tax, or
a VAT and duties tribunal, in so far as the penalty relates to VAT.
Section 76 (expenses of insurance companies) is amended as follows. In subsection (1), omit the second sentence. In subsection (7), in Step 5— Omit subsection (14). In subsection (15), omit the definition of “capital redemption business”.
On an appeal under paragraph 15(1) the appellate tribunal may affirm or cancel HMRC’s decision. On an appeal under paragraph 15(2) the appellate tribunal may— If the appellate tribunal substitutes its decision for HMRC's, the appellate tribunal may rely on paragraph 11— On an appeal under paragraph 15(3)— On an appeal under paragraph 15(4) the appellate tribunal— In sub-paragraphs (3)(b), (4)(a) and (5)(b) “flawed” means flawed when considered in the light of the principles applicable in proceedings for judicial review. Paragraph 14 (see in particular paragraph 14(3)) is subject to the possibility of an order under this paragraph.
Omit section 333B (involvement of insurance companies with plans and accounts).
In section 403E (relief for overseas losses of UK resident companies), omit subsection (3).
Section 431 (interpretative provisions relating to insurance companies) is amended as follows. “child trust fund business” has the meaning given by section 431BA; “foreign currency assets”, in relation to an insurance company and any time during a period of account, means assets, other than assets linked to gross roll-up business, which— “gross roll-up business” has the meaning given by section 431EA; “immediate needs annuities business” means business which consists of the effecting or carrying out of immediate needs annuities (within the meaning of section 725 of ITTOIA 2005); “individual savings account business” has the meaning given by section 431BB; “PHI business” means long-term business other than life assurance business (including the reinsurance of such long-term business); In subsection (2), omit the definitions of— “life assurance business” means business which— other than immediate needs annuities business; “reinsurance” includes retrocession; After subsection (2ZE) insert—
In section 431A(3)(a) (power to amend), omit “and Schedule 19AA”.
After section 431B insert—
Section 431D (meaning of “overseas life assurance business”) is amended as follows. For subsection (1) substitute— In subsections (2) and (4), for “(1)” substitute “(1A)”. In subsection (4), insert at the end “(including provision amending any enactment or any instrument made under an enactment)”.
After section 431E insert—
In section 431F (meaning of “basic life assurance and general annuity business”), for the words from “(including” to the end substitute “other than gross roll-up business”.
In section 432ZA(7) (linked assets), for “long-term business other than life assurance” (in both places) substitute “PHI”.
Section 432A (apportionment of income and gains) is amended as follows. In subsection (1A), for “shall be” substitute “is”. In subsection (2), for paragraphs (a) to (f) substitute— In subsection (3), for “(apart from overseas life assurance business) shall be” substitute “is”. Omit subsection (4). Before subsection (5) insert— In subsection (5)— For subsections (6) to (6AA) substitute— In subsection (7)— In subsection (8), for “subsections (6) and (6A)” substitute “subsection (6)”. In subsection (8ZA), for “subsections (6) and (6A)” substitute “paragraph (c) of the definition of A and paragraph (b) of the definitions of B and C in subsection (6)”. Omit subsection (9).
Section 432AA (Schedule A business or overseas property business) is amended as follows. Omit subsection (3). In subsection (4), for paragraphs (a) to (d) substitute— In subsection (5), omit “(3) or”.
In section 432AB (losses from Schedule A business or overseas property business), omit subsection (6).
Section 432B (apportionment of receipts brought into account) is amended as follows. In subsection (1)— In subsection (2), for “432F” substitute “432G”. In subsection (3)— In subsection (4)— In subsection (5)— In subsection (6), for the words from “432D” to “annuity business” substitute “432C to gross roll-up business”. In subsection (7), omit “the relevant fraction of” (in both places). In subsection (8A), omit “the relevant fraction of”. In subsection (8C), omit “the relevant fraction of”. In subsection (9), omit the definitions of— In subsection (10)—
For section 432C substitute—
Omit section 432D (section 432B apportionment: value of non-participating funds).
Section 432E (section 432B apportionment: participating funds) is amended as follows. For subsection (1) substitute— In subsection (2)— In subsection (3)— where— A is so much of the net amount as is brought into account in respect of the relevant business less such part of it as is attributable to linked assets and foreign currency assets; and B is the mean of the opening and closing liabilities of the relevant business reduced by the mean of the opening and closing values of any assets of the relevant business which are linked assets and foreign currency assets. In subsection (4A), after “linked assets” insert “or foreign currency assets”. Omit subsections (5) and (6).
In section 432F(2) (section 432B apportionment: supplementary provisions)—
omit “For each category of business in relation to which section 432E falls to be applied”, and
omit “, after making any reduction required by section 432E(5),”.
For section 432G substitute—
Section 434 (franked investment income etc) is amended as follows. For subsections (1) and (1B) substitute— Omit subsection (6A)(b).
Section 434A (computation of losses and limitation on relief) is amended as follows. In subsection (2)(a)— any loss for that period under section 436A shall be reduced (but not below nil) by the total of the amounts set off as mentioned in sub-paragraphs (i) and (ii) above.
Omit section 436 (pension business: separate charge on profits).
Before section 437 insert—
Section 438 (pension business: exemption from tax) is amended as follows. In subsection (1), for the words after “income” substitute “from assets solely linked to pension business.” Omit subsections (2) and (4).
Omit section 438B (income or gains arising from property investment LLP).
Omit section 438C (determination of policy holders' share for purposes of s.438B).
Omit section 439 (restricted government securities).
Omit section 439B (life reinsurance business: separate charge on profits).
Section 440 (transfers of assets etc) is amended as follows. In subsection (3), for “(a) to (e)” substitute “(a), (d) and (e)”. In subsection (4), for paragraphs (a) to (c) substitute—, and, in paragraph (e), for “any” substitute “either”.
In section 440A(2) (securities)—
in paragraph (a), for sub-paragraphs (i) to (iii) substitute—,
omit paragraph (c), and
in paragraph (d)—
for “any of the preceding paragraphs” substitute “paragraph (a)”, and
for “any of the descriptions mentioned in those paragraphs” substitute “the description mentioned in that paragraph”.
In section 440B(4) (modifications where tax charged under Case I of Schedule D)—
for “(a) to (e)” substitute “(a), (d) and (e)”, and
for the notionally substituted paragraph (a) substitute—.
Omit section 441 (overseas life assurance business).
In section 444A(3) (transfers of business)—
for “436(3)(c) or 439B(3)(c)” substitute “436A(4)”,
omit paragraph (b) and the word “or” before it, and
for “the same category of business as that in which it arose)” substitute “gross roll-up business)”.
Section 444AC (transfers of business: excess of assets or liabilities) is amended as follows. In subsection (2B)— In subsection (2D), for “a category of its life assurance business” substitute “its gross roll-up business”. In subsection (10), in the definition of “the transferor’s business”, for paragraph (b) substitute—
Section 444AF (demutualisation surplus: life assurance business) is amended as follows. In subsection (4)(b), for “sections 432C and 432D apply” substitute “section 432C applies”. In subsection (5)(b), for “the profits of any category of the company’s life assurance business chargeable to tax under Case VI of Schedule D” substitute “profits of the company chargeable under Case VI of Schedule D under section 436A (gross roll-up business)”.
Section 444AK (mutual surplus: Case VI categories of life assurance business) is amended as follows. In subsection (1), for paragraph (b) substitute— In subsection (3), for “any category of the company’s life assurance business chargeable to tax under Case VI of Schedule D” substitute “the company’s gross roll-up business”. In subsection (5)(b), for “sections 432C and 432D apply” substitute “section 432C applies”. The heading accordingly becomes “Mutual surplus: gross roll-up business”.
Omit sections 458 and 458A (capital redemption business).
In section 460(2) (registered friendly societies: exemption from tax in respect of life or endowment business)—
for “pension business” substitute “gross roll-up business”,
at the end of paragraph (ca), insert “and”, and
omit paragraph (cb).
In section 461 (registered friendly societies: other business), omit subsection (3A).
In section 461B (incorporated friendly societies), omit subsection (2A).
Section 466 (interpretation of Chapter 2 of Part 12) is amended as follows. For subsection (1) substitute— In subsection (2)— Omit subsections (2ZA), (2A) and (2B).
In section 502H(2)(a)(ii) and (4)(b) (insurance company as lessor), for “long-term business which is not life assurance” substitute “PHI”.
In section 539(3) (life policies, life annuities and capital redemption policies), in the definition of “capital redemption policy”, for “as defined in section 458(3)” substitute “, within the meaning of Chapter 1 of Part 12”.
Section 553B (overseas life assurance business: capital redemption policies) is amended as follows. In subsection (2), in the definition of “overseas policy”, for “431D(1)(a)” substitute “431D(1)”. In subsection (3), for the words from “after” to the end substitute “on or after 23rd March 1999.”
Section 755A (treatment of chargeable profits and creditable tax apportioned to company carrying on life assurance business) is amended as follows. In subsection (4), for the words after “referable to” substitute “gross roll-up business carried on by the UK company.” In subsection (6)(c), for “a category of business specified in paragraphs (a) to (c) of subsection (4) above” substitute “gross roll-up business”. In subsection (13), for paragraphs (a) to (d) substitute—.
In section 804A(1) (life assurance companies with overseas branches etc: restriction of credit), for “any category of life assurance business” substitute “gross roll-up business”.
Section 804B (insurance companies carrying on more than one category of business: restriction of credit) is amended as follows. In subsection (1)(a), after “category of” insert “long-term”. In subsection (2), omit “or section 438B”. For subsection (3) substitute— In subsection (4)— In subsection (5), for the words following “is” substitute “gross roll-up business.” In subsection (6)— In subsection (7), for— substitute “gross roll-up business”. For subsection (9) substitute—
In section 804C(14) (insurance companies: allocation of expenses etc in computations under Case I of Schedule D), for— substitute “gross roll-up business”.
“a category of life assurance business”, and
“any category of life assurance business”,
Section 804D (interpretation of section 804C in relation to life assurance business etc) is amended as follows. In subsection (1), for “a category of life assurance business” substitute “gross roll-up business”. In subsection (3), for “432F” substitute “432G”.
In section 804E (interpretation of section 804C in relation to other insurance business), for “any category of life assurance business” substitute “gross roll-up business”.
In section 806L(5) (carry forward or carry back of unrelieved foreign tax), for paragraph (b) substitute—
In section 808 (restriction on deduction of interest or dividends from trading income), for “436” substitute “436A”.
Omit Schedule 19AA (overseas life assurance fund).
In paragraph 2(1A)(a) of Schedule 25 (cases where section 747(3) does not apply), for “436, 439B or 441” substitute “436A”.
“TMA 1970” means the Taxes Management Act 1970 (c. 9),
Section 431 of ICTA (interpretative provisions relating to insurance companies) is amended as follows. For subsection (1) substitute— “the life assurance provisions of the Corporation Tax Acts” means—
The amendment made by paragraph 1 has effect on and after 10th May 2007. The amendments made by paragraphs 2, 4(2) and (4), 5, 6 and 8 to 15 have effect in relation to periods of account beginning on or after 1st January 2007. But the amendment made by paragraph 2(4) does not apply where the transfer of business concerned took place before 10th May 2007. The amendment made by paragraph 3 has effect in relation to losses accruing in a period of account beginning on or after 1st January 2007. The amendment made by paragraph 4(3) has effect in relation to periods of account beginning on or after 1st January 2005.
In FA 1989, after section 83 insert— In ICTA, omit section 444ACA (transfers of business). In section 432E(2A) of that Act, omit “444ACA(2),” and paragraph (b). In section 211 of TCGA 1992 (transfers of business: application of section 139 of that Act), as amended by paragraph 14 of Schedule 9 to this Act, after subsection (2) insert— The reference in sub-paragraph (2) to an asset of the investing company’s long-term insurance fund, and the references in sub-paragraphs (3) and (4) to shares or an interest in shares held as assets of its long-term insurance fund, do not include a structural asset, or structural assets, within the meaning of section 83XA of the Finance Act 1989.
TCGA 1992 is amended as follows. In section 210B(6)(a) (disposal and acquisition of section 440A securities), for the words after “are” substitute “assets within section 212(1).” Omit—
“non-profit company”, in relation to a period of account, means a company carrying on long-term business where, at the end of the period— are with-profits liabilities; “non-profit fund” means a fund that is not a with-profits fund; “with-profits fund” has the meaning given by the Prudential Sourcebook (Insurers); Omit—
Section 747 of ICTA (imputation of chargeable profits and creditable tax of controlled foreign companies) is amended as follows. After subsection (3) insert— After subsection (5) insert—
The amendments made by this Schedule have effect in relation to accounting periods of controlled foreign companies beginning on or after 6th December 2006. In the case of an accounting period (a “straddling period”) of a controlled foreign company— the amendments made by this Schedule have effect as if, for the purposes of Chapter 4 of Part 17 of ICTA, so much of the straddling period as falls before that date, and so much of the straddling period as falls on or after that date, were separate accounting periods. The company’s chargeable profits for the straddling period, and its creditable tax (if any) for that period, are to be apportioned to the two separate accounting periods on a just and reasonable basis. Each of the following expressions— has the same meaning in this paragraph as in Chapter 4 of Part 17 of ICTA.
In section 750(3) of ICTA (territories with a lower level of taxation), after the “and” at the end of paragraph (a) insert—.
Part 2 of Schedule 25 to ICTA (supplementary provision in relation to cases where apportionment under section 747(3) does not apply: exempt activities) is amended as follows. Except as provided in paragraph 8 below, the provisions of this Part of this Schedule apply in relation to a company which is resident in an EEA territory in the same way as they apply in relation to a company which is resident elsewhere. In paragraph 8, in sub-paragraph (1), after “fulfilled” insert “in relation to a company which is not resident in an EEA territory”. The condition in paragraph 6(1)(b) above shall not be regarded as fulfilled in relation to a company which is resident in an EEA territory unless there are sufficient individuals working for the company in the territory who have the competence and authority to undertake all, or substantially all, of the company’s business. For the purposes of sub-paragraph (5) above, individuals are not to be regarded as working for a company in any territory unless—
Part 4 of FA 2004 (pension schemes etc) is amended as follows.
Schedule 29A (taxable property held by investment-regulated pension schemes) is amended as follows. In paragraph 20(1)(b) (indirect holdings: introduction to exception for REITs), for “paragraph 22 makes” substitute “paragraphs 22, 24 and 25 make”. In paragraph 22 (REITs)— In paragraph 24(1) (conditions applying for paragraph 23), for “paragraph 23” substitute “paragraphs 22 and 23”. In paragraph 25(2) (provisions supplementing paragraph 24), for “23(1)” substitute “22 or 23”.
Section 172A (surrender) is amended as follows. In subsection (5), after paragraph (d) insert—. In subsection (10), for “An” substitute “For the purposes of this section an”. After that subsection insert—
In section 166(2)(a) (when person becomes entitled to pension commencement lump sum), after “paid” insert “(or, if the person dies before becoming entitled to the pension in connection with which it was anticipated it would be paid, immediately before death)”.
Section 80C of FA 1986 (exemption from stamp duty: repurchases and stock lending) is amended as follows. In subsection (1) (application of section), after “conditions set out in subsection” insert “(2A) or”. After subsection (2) insert— In subsection (3) (conditions for exemption)— In subsection (6) (meaning of arrangement being on an exchange)— In subsection (7)— After that subsection insert— The amendments made by this paragraph have effect in relation to any instrument executed on or after 1st November 2007.
This paragraph applies where P is liable to a penalty under paragraph 1 for an inaccuracy in or in connection with a partnership return. Where the inaccuracy affects the amount of tax due or payable by a partner of P, the partner is also liable to a penalty (“a partner’s penalty”). Paragraphs 4 to 13 and 19 shall apply in relation to a partner’s penalty (for which purpose a reference to P shall be taken as a reference to the partner). Potential lost revenue shall be calculated separately for the purpose of P’s penalty and any partner’s penalty, by reference to the proportions of any tax liability that would be borne by each partner. Paragraph 14 shall apply jointly to P’s penalty and any partner’s penalties. P may bring an appeal under paragraph 15 in respect of a partner’s penalty (in addition to any appeal that P may bring in connection with the penalty for which P is liable).
The following provisions are omitted—
sections 95, 95A, 97 and 98A(4) of TMA 1970 (incorrect returns and accounts),
sections 100A(1) and 103(2) of TMA 1970 (deceased persons),
in Schedule 18 to FA 1998 (company tax returns), paragraphs 20 and 89 (company tax returns), and
sections 60, 61, 63 and 64 of VATA 1994 (evasion).
Chapter 2 of Part 1 of FA 1993 (lottery duty) is amended as follows.
Section 11 (rate of gaming duty) is amended as follows. In paragraph (b) of subsection (10), for “the value, in money or money’s worth, of the winnings paid” substitute “the value of the prizes provided”. After that subsection insert— In subsection (11), for “(10)” substitute “(10A)”.
In section 90(8) of FA 1986 (exceptions to the charge to SDRT), for paragraph (b) substitute—.
FA 1989 is amended as follows.
An unused pension business loss of an insurance company (see sub-paragraph (4)) is to be treated as if it were a loss incurred by the company on its gross roll-up business in the period of account immediately preceding the commencement period. Subsections (4) and (5) of section 436A of ICTA accordingly apply to the loss, but subject to sub-paragraph (3) (and to subsection (7) of that section). The amount by which the company’s profits charged under that section in a period of account is to be treated as reduced under subsection (4)(b) of that section by virtue of this paragraph must not exceed— where— “CP” is the amount of the company’s profits chargeable under that section in the period of account, “PBL” is the mean of the opening and closing liabilities of the company’s pension business for the period of account, and “GRBL” is the mean of the opening and closing liabilities of the company’s gross roll-up business for the period of account. In this paragraph “unused pension business loss”, in relation to an insurance company, means so much of any losses incurred by the company on its pension business in any pre-commencement period as were not set off under section 436(3)(c) of ICTA against profits in any such period.
In paragraph 16(1) of Schedule 7 to FA 1991 (transitional relief for old general annuity contracts), for “, otherwise than in accordance with the provisions applicable to Case I of Schedule D,” substitute “under the I minus E basis”.
In paragraph 4 of Schedule 11 to FA 1996 (loan relationships: special provisions for insurers: treatment of deficit), omit sub-paragraphs (12) to (14).
Section 431A (power to amend) is amended as follows. In subsection (1), for “insurance company taxation provision” substitute “of the life assurance provisions of the Corporation Tax Acts”. Omit subsection (7).
In section 219(7) (multiple benefit crystallisation events occurring by reason of payment of lump sum death benefits treated as occurring immediately before death), insert at the end “but immediately after any benefit crystallisation event occurring immediately before the individual’s death by virtue of section 166(2).”
Section 89AA of FA 1986 (exemption from SDRT: repurchases and stock lending) is amended as follows. In subsection (1) (application of section), after “conditions set out in subsection” insert “(2A) or”. After subsection (2) insert— In subsection (3) (conditions for exemption)— In subsection (5) (meaning of arrangement being on an exchange)— In subsection (6)— After that subsection insert— The amendments made by this paragraph have effect in relation to any agreement to transfer securities—
In paragraph 7 of Schedule 1 to the Social Security Contributions and Benefits Act 1992 (c. 4) (penalties) a reference to a provision of TMA 1970 shall be construed as a reference to this Schedule so far as is necessary to preserve its effect.
ICTA is amended as follows. In section 210(4) (bonus issue following repayment of share capital), in the definition of “preference shares”, for “listed in the Official List of the Stock Exchange” substitute “included in the official UK list”. In section 312(1E)(a) (interpretation of Chapter 3 of Part 7), for “section 841” substitute “section 1005(1)(b) of ITA 2007”. In section 415(1)(b) (certain quoted companies not to be close companies), for “in the official list of” substitute “on”. In section 576H(2)(a) (the unquoted status requirement), for “1005” substitute “1005(1)(b)”. In section 587B (gifts of shares, securities and real property to charities etc)— In section 704 (prescribed circumstances mentioned in section 703(1)), in paragraph D(2)(b), for “listed in the Official List of the Stock Exchange, and are dealt in on the Stock Exchange” substitute “included in the official UK list, and are dealt in on a recognised stock exchange in the United Kingdom”. In section 828(2) (orders and regulations made by the Treasury or the Board), after “conferred by section” insert “587B(9ZA) or”. In section 842(1)(c) (investment trusts), for “listed in the Official List of the Stock Exchange” substitute “included in the official UK list”. In paragraph 5 of Schedule 20 (charities: qualifying investments and loans), omit “, or which are dealt in on the Unlisted Securities Market”.
In section 88(3A) (corporation tax: policy holders' fraction of profits), for paragraph (b) substitute—
In section 83A(1) of FA 1989 (“brought into account”)—
omit “In sections 82A to 83B”, and
for “those sections” substitute “sections 82A to 83ZA”.
Schedule 29 (authorised lump sums) is amended as follows. In paragraph 1(1) (conditions to be met if lump sum is to be pension commencement lump sum)— In paragraph 1(6) (power to provide that certain lump sums are to be treated as pension commencement lump sums), for “(1)(c) and (e)” substitute “(1)(a) and (c)”. But if the member dies before becoming entitled to the relevant pension in connection with which it was anticipated that the member would become entitled to the lump sum, the permitted maximum is the available portion of the member’s lump sum allowance.
In paragraph 7 of Schedule 1 to the Social Security Contributions and Benefits (Northern Ireland) Act 1992 (c. 7) (penalties) a reference to a provision of TMA 1970 shall be construed as a reference to this Schedule so far as is necessary to preserve its effect.
TCGA 1992 is amended as follows. In section 130(1)(a) (composite new holdings)— In section 144(8)(a) (options and forfeited deposits), for “quoted on” substitute “listed on”. In section 146(4)(b) (options: application of rules as to wasting assets), omit “in the United Kingdom or elsewhere”. In section 273(2) (unquoted shares and securities), for “quoted” substitute “listed”. Omit section 285 (recognised investment exchanges).
In section 89(1A) (policy holders' share of profits), for paragraph (a) substitute—.
Omit the following provisions. In ICTA— In FA 1989— In paragraph 16(7) of Schedule 7 to FA 1991, the words from “and, subject to that,” to the end. In TCGA 1992— In FA 1996— In paragraph 13(3) of Schedule 18 to FA 1998, the words after “1988”. In CAA 2001— In paragraph 31(1) of Schedule 22 to FA 2001, the definitions of “insurance company” and “life assurance business”. In FA 2002— In Schedule 23 to FA 2003— Section 134(4)(c) of FA 2006.
In paragraph 4(2C)(b) of Schedule 26 to FA 2002 (derivative contracts: contracts excluded by virtue of their underlying subject matter), for “quoted” substitute “listed”.
ITEPA 2003 (persons to whom section 421J applies) is amended as follows. In section 421L (persons to whom section 421J applies)— In section 717(2) (orders and regulations made by Treasury or Commissioners), insert at the end “or section 421L(7) (persons to whom section 421J applies: order in relation to excluded securities).”
ITTOIA 2005 is amended as follows. In section 443(2) (application of Chapter 8 of Part 4 to strips of government securities)— In section 460(3) (minor definitions in Chapter 8 of Part 4), omit “or 451”.
ITA 2007 is amended as follows. In section 143(2)(a) (losses on disposal of shares: the unquoted status requirement), for “1005” substitute “1005(1)(b)”. In section 151(2) (interpretation of Chapter 6 of Part 4), for “the Stock Exchange” substitute “a recognised stock exchange”. In section 184 (EIS: the unquoted status requirement)— In section 257(5) (minor definitions in Part 5), for “the Stock Exchange” substitute “a recognised stock exchange”. In section 274(2) (requirements for the giving of VCT approval), for “listed throughout the relevant period in the Official List of the Stock Exchange” substitute “included in the official UK list throughout the relevant period”. In section 295(3) (VCTs: the unquoted status requirement)— In section 382(2) (minor definitions in Part 7), for “the Stock Exchange” substitute “a recognised stock exchange”. In section 397(6) (eligibility requirements for interest on loans within section 396), in the definition of “unquoted company”, for “listed in the Official List of the Stock Exchange” substitute “included in the official UK list”. In section 432 (gifts of shares, securities and real property to charities etc: meaning of “qualifying investment”)— In section 691(1)(b) (meaning of “relevant company” in sections 689 and 690), for sub-paragraphs (i) and (ii) substitute— “shares, stock or other securities included in the official UK list” is to be read in accordance with section 1005, “shares, stock or other securities listed on a recognised stock exchange” is to be read in accordance with section 1005, Omit section 1010 (application of Income Tax Acts to recognised investment exchanges). In section 1014(2)(g) (orders and regulations)— shares, stock or other securities included in the official UK list section 1005 shares, stock or other securities listed on a recognised stock exchange section 1005
“BGDA 1981” means the Betting and Gaming Duties Act 1981 (c. 63),
The final entry in the Table in paragraph 1 excludes a document in respect of which a penalty is payable under section 98 of TMA 1970 (special returns). The amount of a penalty for which P is liable under paragraph 1 or 2 in respect of a document relating to a tax period shall be reduced by the amount of any other penalty which P has incurred and the amount of which is determined by reference to P’s tax liability for that period. In the application of section 97A of TMA 1970 (multiple penalties) no account shall be taken of a penalty under paragraph 1 or 2.
A penalty is payable by a person (P) where— In deciding what steps (if any) were reasonable HMRC must consider— In sub-paragraph (1) “tax” means—
“The potential lost revenue” in respect of an inaccuracy in a document or a failure to notify an under-assessment is the additional amount due or payable in respect of tax as a result of correcting the inaccuracy or assessment. The reference in sub-paragraph (1) to the additional amount due or payable includes a reference to— In sub-paragraph (1) “tax” includes national insurance contributions. The following shall be ignored in calculating potential lost revenue under this paragraph— (but this sub-paragraph does not prevent a penalty being charged in respect of an inaccurate claim for relief).
Where an inaccuracy resulted in an amount of tax being declared later than it should have been (“the delayed tax”), the potential lost revenue is— This paragraph does not apply to a case to which paragraph 7 applies.
Schedule 3 (exemptions from bingo duty) is amended as follows. For paragraph 2B (and the italic cross-heading before it) substitute— In paragraph 5(1) (small-scale amusements provided commercially)— In paragraph 10(2) (notification to Commissioners by, and registration of, bingo-promoters), in the second sentence, for “the Gaming Act 1968” substitute “a bingo premises licence”.
BGDA 1981 is amended as follows.
In section 5C(5) (bet-brokers: cases where section 5C does not apply), omit paragraph (b) (together with the “or” before it).
Section 20C(2) (definitions for purposes of Part 2) is amended as follows. “bingo premises licence” has the same meaning as in Part 8 of the Gambling Act 2005 (see section 150(1)(b)), “licensed bingo”—
ITTOIA 2005 is amended as follows.
ICTA is amended as follows.
In section 212 of TCGA 1992 (annual deemed disposal of holdings of unit trusts etc), omit subsection (7A) (which applies section 440B(5) of ICTA).
This paragraph applies where amounts may be brought into charge to tax either— and the italic heading before that paragraph accordingly becomes “Choice between Case I and Case III or V of Schedule D”.
In section 473(2) (policies and contracts to which Chapter 9 applies), in the definition of “capital redemption policy”, for “as defined in section 458(3)” substitute “within the meaning of Chapter 1 of Part 12”.
Section 76 (expenses of insurance companies) is amended as follows. In subsection (1)(b), for “not charged to tax in respect of that business under Case I of Schedule D” substitute “charged to tax in respect of that business under the I minus E basis”. In subsection (7)— Omit subsections (10) and (11). In subsection (12)— For subsection (13) substitute—
In section 476(3) (special rules: foreign policies), in the definition of “foreign capital redemption policy”, for “431D(1)(a)” substitute “431D(1)”.
“the I minus E basis” means the basis under which a company carrying on life assurance business is charged to tax on the relevant profits (within the meaning of section 88(3) of the Finance Act 1989) of that business otherwise than under Case I of Schedule D;
In Schedule 2 (transitionals and savings etc), in paragraph 118(2), for “from “other than” onwards in the definition of “annuity business”” substitute “following paragraph (b) in the definition of “life assurance business””.
For section 432 (and the italic cross-heading before it) substitute—
In section 432A(7)(c)(ii) (apportionment of income and gains), for “85(2C)(c)” substitute “85(2C) or 85A”.
In section 437(1A) (annuities), for “, otherwise than in accordance with the provisions applicable to Case I of Schedule D,” substitute “under the I minus E basis”.
Omit section 439A (taxation of pure reinsurance business).
Section 440B (modifications where tax charged under Case I of Schedule D) is amended as follows. In subsection (1), insert at the end “in accordance with section 431G(3)”. In subsection (3), for “Section 440(1) and (2) apply” substitute “Subsection (1) of section 440 applies”. After subsection (4) insert— Omit subsection (5).
After that section insert—
In section 755A(2) and (6)(a) (controlled foreign companies: apportionments to companies carrying on life assurance business), for “not charged to tax under Case I of Schedule D in respect of its profits from” substitute “charged to tax under the I minus E basis in respect of”.
Section 39
“VATA 1994” means the Value Added Tax Act 1994 (c. 23), and
TCGA 1992 is amended as follows.
In section 139 of FA 2006 (Real Estate Investment Trusts: manufactured dividends), omit subsection (5).
In section 749 of ICTA (residence), insert at the end—
In ICTA, after section 751 insert—
In section 748(1) of ICTA (cases where apportionment under section 747(3) does not apply), omit paragraph (c) (together with the “or” at the end of it). In Schedule 25 to ICTA (supplementary provision in relation to cases where apportionment under section 747(3) does not apply), omit Part 3 (the public quotation condition).
Schedule 15 to FA 2000 is amended as follows. In paragraph 23 (trading activities requirement), omit sub-paragraphs (10) and (11). After that paragraph insert— In paragraph 103 (index of defined expressions), in the entry relating to the definition of “qualifying 90% subsidiary”, for “paragraph 23(10) and (11)” substitute “paragraph 23A”.
This Part of this Schedule is deemed to have come into force on 6th April 2007.
After section 195 insert—
The amendments made by paragraphs 2 to 4 and 23 are deemed to have come into force on 6th April 2007. The amendment made by paragraph 5 has effect in relation to payments made on or after 6th April 2007. The amendments made by paragraphs 6, 7(2), 9 to 11, 15 to 19 and 22 are deemed always to have had effect. The amendment made by paragraph 7(3) has effect in relation to reductions occurring on or after 6th April 2007. The amendments made by paragraph 8 have effect in relation to notifications given on or after 6th December 2006. The amendments made by paragraph 12 have effect in relation to lump sums paid on or after 6th April 2006. The amendments made by paragraph 13 have effect in relation to deaths occurring on or after 6th April 2006. The amendments made by paragraph 14 are deemed to have come into force on 1st January 2007. The amendment made by paragraph 20 has effect in relation to lump sum death benefits paid on or after 6th April 2006.
Paragraphs 23 to 26 apply for the construction of this Schedule.
In section 530(2) of ITA 2007 (charitable trusts: exemption for profits from lotteries), for paragraph (a) (together with the “or” following it) substitute—.
Step 7 in subsection (7) of section 76 of ICTA applies in relation to an insurance company for the first accounting period beginning on or after 1st January 2007 for which the profits of the life assurance business are charged to tax under the I minus E basis as if the amounts carried forward to the accounting period under subsection (12) of that section included—
any excess such as is mentioned in that subsection relating to the company for an accounting period beginning on or after 1st April 2004 but not later than 1st January 2007 which was not brought into account for the next accounting period in accordance with Step 7 in subsection (7) of that section, and
any excess such as was mentioned in subsection (3) of section 75 of ICTA relating to the company for an accounting period beginning before 1st April 2004 which was not deducted for the succeeding accounting period in accordance with that section (as applied by section 76 of that Act).
Where business consisting of or including an arrangement for the reinsurance of a policy or contract made before 29th November 1994 which was effected before that date has been transferred by an insurance business transfer scheme sub-paragraph (2) has effect in relation to the transferee.
Section 263A (agreements for sale and repurchase of securities) is amended as follows. In subsection (1), for the words from the beginning to “were different” substitute “Subject to subsections (3) and (4) below, in any case falling within section 607(1) of ITA 2007 (treatment of price differences under repos)”. After that subsection insert— Omit subsection (2). For subsections (5) and (6) substitute— The heading accordingly becomes “Agreements for sale and repurchase of securities: capital gains tax”.
HMRC means Her Majesty’s Revenue and Customs.
For paragraph 12 of Schedule 7AC substitute—
An expression used in relation to income tax has the same meaning as in the Income Tax Acts.
An expression used in relation to corporation tax has the same meaning as in the Corporation Tax Acts.
An expression used in relation to capital gains tax has the same meaning as in the enactments relating to that tax.
An expression used in relation to VAT has the same meaning as in VATA 1994.
In this Schedule—
a reference to corporation tax includes a reference to tax or duty which by virtue of an enactment is assessable or chargeable as if it were corporation tax,
a reference to tax includes a reference to construction industry deductions under Chapter 3 of Part 3 of FA 2004,
“direct tax” means—
income tax,
capital gains tax, and
corporation tax,
a reference to understating liability to VAT includes a reference to overstating entitlement to a VAT credit,
a reference to a loss includes a reference to a charge, expense, deficit and any other amount which may be available for, or relied on to claim, a deduction or relief,
a reference to repayment of tax includes a reference to allowing a credit,
“tax period” means a tax year, accounting period or other period in respect of which tax is charged,
a reference to giving a document to HMRC includes a reference to communicating information to HMRC in any form and by any method (whether by post, fax, email, telephone or otherwise),
a reference to giving a document to HMRC includes a reference to making a statement or declaration in a document,
a reference to making a return or doing anything in relation to a return includes a reference to amending a return or doing anything in relation to an amended return, and
a reference to action includes a reference to omission.
Section 40
Schedule 15 to FA 2000 is amended as follows. In paragraph 34 (introduction to Part) after sub-paragraph (a) insert—. After paragraph 35 insert— In paragraph 63(1)(a) (withdrawal of relief: interest), after sub-paragraph (i) insert—.
Schedule 5B to TCGA 1992 is amended as follows. In paragraph 1 (application of Schedule)— In paragraph 1A(1) (failure of conditions of application), after “(2)(b)” insert “or (2)(da)”.
Schedule 29 (authorised lump sums) is amended as follows. In paragraph 13(c) (defined benefits lump sum death benefit), for “day on which the member died,” substitute “earlier of the day on which the scheme administrator first knew of the member’s death and the day on which the scheme administrator could first reasonably be expected to have known of it,”. In paragraph 15(1)(c) (uncrystallised funds lump sum death benefit), for “day on which the member died,” substitute “earlier of the day on which the scheme administrator first knew of the member’s death and the day on which the scheme administrator could first reasonably be expected to have known of it,”.
Schedule 36 (transitional provision) is amended as follows.
In section 167(2) of FA 2004 (meaning of “pension death benefit”), for ““Pension” substitute “In this Part “pension”. pension death benefit section 167(2)
In section 160 (unauthorised payments), after subsection (4) insert—
Schedule 28 (pension rules) is amended as follows. Subject as follows, the period of five unsecured pension years beginning with the first unsecured pension year, and each succeeding period of five unsecured pension years, is a “reference period”. Sub-paragraph (1B) applies if, at any time during a reference period (“the current reference period”), the member notifies the scheme administrator that the member wishes a new reference period to begin on the next day that is an anniversary of the reference date in relation to the current reference period. The scheme administrator may determine— The first day of each reference period is, in relation to that period, “the reference date”. Subject as follows, the period of five unsecured pension years beginning with the first unsecured pension year, and each succeeding period of five unsecured pension years, is a “reference period”. Sub-paragraph (1B) applies if, at any time during a reference period (“the current reference period”), the dependant notifies the scheme administrator that the dependant wishes a new reference period to begin on the next day that is an anniversary of the reference date in relation to the current reference period. The scheme administrator may determine— The first day of each reference period is, in relation to that period, “the reference date”.
Paragraph 16 of Schedule 7 to FA 1991 (transitional relief for old general annuity contracts) is amended as follows. In sub-paragraph (7), in the definition of “old annuity contract”, insert at the end “(including one forming part of the business transferred to another insurance company by an insurance business transfer scheme)”. Where— the reference in the definition of R1 in sub-paragraph (2) above to the company’s opening liabilities for the accounting period is, in relation to the transferred contracts, a reference to the company’s liabilities in respect of the transferred contracts immediately after the transfer.
The Treasury may by order make provision in relation to insurance business transfer schemes. The power conferred by sub-paragraph (1) includes power to amend or repeal any provision of the Corporation Tax Acts relating to insurance business transfer schemes and otherwise to amend the Corporation Tax Acts. The power conferred by sub-paragraph (1) includes power to make— Provision made by an order under this paragraph may be made so as to have effect in relation to periods of account current when it is made. No order may be made under this paragraph unless a draft of the statutory instrument containing it has been laid before the House of Commons before 1st April 2008 and has been approved by a resolution of that House.
Paragraph 12 (when enhanced protection ceases) is amended as follows. In paragraph (c) of sub-paragraph (2), for “solely for the purposes of a permitted transfer” substitute “in permitted circumstances”. An arrangement is made in permitted circumstances if it is made— For the purposes of sub-paragraph (2A)(b) an arrangement (“the new arrangement”) relating to an individual is made as part of a retirement-benefit activities compliance exercise if— For the purposes of sub-paragraph (2A)(c) an arrangement (“the new arrangement”) is made as part of an age-equality compliance exercise if— In sub-paragraph (7)— In paragraph (a) of sub-paragraph (8), omit— After paragraph (b) of that sub-paragraph insert— For the purposes of sub-paragraph (8)(c) “relevant business transfer” means a transfer of an undertaking or a business (or part of an undertaking or a business) from one person to another— For the purposes of sub-paragraph (8)(d) sums or assets held for the purposes of, or representing accrued rights under, the old arrangement are transferred as part of a retirement-benefit activities compliance exercise if— In sub-paragraph (9)— The Treasury may by order amend sub-paragraph (8) (and make other amendments consequential on any amendment of that sub-paragraph).
In section 1(1) of the Pension Schemes Act 1993 (c. 48) (categories of pension schemes), in paragraph (b) of the definition of “personal pension scheme”, omit “any of the paragraphs of”. In section 1(1) of the Pension Schemes (Northern Ireland) Act 1993 (c. 49) (categories of pension schemes), in paragraph (b) of the definition of “personal pension scheme”, omit “any of the paragraphs of”.
A variation of the terms of a policy made in order to comply with the Employment Equality (Age) Regulations 2006 or Employment Equality (Age) Regulations (Northern Ireland) 2006 (or any regulations amending or replacing them) is to be ignored for the purposes of sub-paragraph (3). Where a policy of insurance on the life of the individual issued, or issued in respect of insurances made, before 6th April 2006 is surrendered and a new one is taken out— the new policy is to be treated for the purposes of sub-paragraph (3) as if it were the same as the old. For the purposes of sub-paragraph (3B)(a) a policy is surrendered, and a new policy of life insurance is taken out, as part of a retirement-benefit activities compliance exercise if— For the purposes of sub-paragraph (3B)(b) a policy is surrendered, and a new policy of life insurance is taken out, as part of an age-equality compliance exercise if—
Paragraph 15 (relevant benefit accrual) is amended as follows. In sub-paragraph (2), after “arrangement” (in both places) insert “which are transferred”. In sub-paragraph (7), for “15 and 16” substitute “16 and 17”.
Section 41
Section 42
Section 44
Section 47
Section 47
Section 48
Section 51
This Part of this Schedule is deemed to have come into force on 6th April 2007.
In Chapter 3 of Part 7 of ICTA— In section 190 of ITA 2007 (EIS: meaning of “qualifying 90% subsidiary”), after subsection (1) insert—
In section 284 of ITA 2007 (power to make regulations as to procedure), in the existing provision (which becomes subsection (1))— After subsection (1) insert—
Part 6 of ITA 2007 is amended as follows. In section 286(3) (qualifying holdings: introduction) after paragraph (j) insert—. After section 297 insert— In section 327 (certain requirements of Chapter 4 to be treated as met)— This paragraph is deemed to have come into force on 6th April 2007. The amendments made by this paragraph do not have effect in relation to— For the purposes of sub-paragraph (6)(b), “protected money” is—
Paragraph 29 of Schedule 15 to FA 2000 is amended as follows. In sub-paragraph (3), for paragraphs (a) and (b) substitute— If— references in sub-paragraph (3) to the issuing company include the old company.
The Commissioners for Her Majesty’s Revenue and Customs may by regulations amend paragraphs 4 to 7. Regulations under sub-paragraph (1) having the effect of limiting the contributions which are life assurance premium contributions may be made so as to have effect in relation to times before they are made.
In paragraph 86(2) (substitution of new shares for old shares), after “Schedule”, in the first place it occurs, insert “(except paragraph 29(7))”.
Section 52
Part 4 of FA 2006 (REITs) is amended as follows.
In section 106 (conditions for company)—
in subsection (1), for “1 to 3” substitute “1 and 2”, and
after subsection (8) insert—
In section 107 (conditions for tax-exempt business)—
in subsections (1)(a) and (2)(a), for “1 to 3” substitute “1 and 2”,
in subsections (1)(b) and (2)(b), for “Condition 4” substitute “Condition 3”,
omit subsection (5),
in subsection (6), for “1 to 3” substitute “1 and 2”,
omit subsections (7) and (7A), and
in subsections (8) and (9), for “Condition 4” substitute “Condition 3”.
In section 108(2) (profit condition), for paragraph (b) substitute—
In section 109 (notice), after subsection (2) insert—
In section 115 (profit: financing cost ratio)—
in the formula in subsection (2), omit “+ Financing Costs”, and
in paragraph (a) of that subsection, after “allowances” insert “, of losses from a previous accounting period and of amounts taken into account under section 120(3)”.
In section 116 (minor or inadvertent breach)—
in subsection (3), after paragraph (c) insert— and
after that subsection insert—
In section 117 (cancellation of tax advantage), insert at the end—
In section 120 (calculation of profits)—
in paragraph (a) of subsection (4), for “an asset,” substitute “an asset by the exploitation of which tax-exempt business is conducted,”
after that paragraph insert— and
after that subsection insert—
In section 123(a) (attribution of distributions), for “Condition 4” substitute “Condition 3”.
After section 126 (movement of assets into ring fence) insert—
In section 127 (interpretation), for “126” substitute “126A”.
In section 133 (early exit), insert at the end—
In section 138 (joint ventures), after subsection (3) insert—
For the purpose of Condition 2, no account shall be taken of the fact that a property may fall to be described as owner-occupied by reason only of the provision by the company of services to an occupant who—
Schedule 17 (modifications for groups) is amended as follows. In paragraph 2(b), for “Conditions 1 to 3” substitute “Conditions 1 and 2”. Omit paragraph 6(2) and (3). In paragraph 6(4) and (5), for “Condition 4” substitute “Condition 3”. In paragraph 14, in the substituted subsection (2)— after paragraph 33 insert—
In section 505(1) of ICTA (charities: exemptions), after paragraph (a) insert—.
In section 531 of ITA 2007 (charities: exemptions)—
after subsection (2) insert—, and
in subsection (3), for “and (2)” substitute “to (2A)”.
Section 68
Section 69
Section 70
Section 73
Section 84
In section 20D(1) of TMA 1970, for “sections 20A, 20BA and 20C” substitute “sections 20A and 20BA”.
In section 67 of the Criminal Justice and Police Act 2001 (c. 16) and the heading of that section, for “customs officers” substitute “officers of Revenue and Customs”.
The provisions listed below are omitted.
In TMA 1970—
sections 20C and 20CC (search warrants), and
in the definition of “tax” in section 118 the word “, 20C”.
In CEMA 1979—
section 118C(3)(c) (gaming duty), and
the references to “a gaming duty offence” in section 118C(4)(b) and (5).
In BGDA 1981—
paragraph 16 of Schedule 1 (general betting duty: search warrants),
paragraph 17 of Schedule 3 (bingo duty: search warrants), and
paragraph 17 of Schedule 4 (amusement machine licence duty: search warrants).
Section 148(4) of FA 1989 (definition of “business” for purposes of section 20C of TMA 1970).
In VATA 1994—
section 72(9) (powers of arrest), and
paragraph 10(3) to (6) of Schedule 11 (search warrants).
In Schedule 7 to FA 1994 (insurance premium tax)—
paragraph 4(2) to (5) (search warrants), and
paragraph 4(6) and (7) (power of arrest).
In Schedule 5 to FA 1996 (landfill tax)—
paragraph 5 (search warrants), and
paragraph 6 (power of arrest).
In Schedule 6 to FA 2000 (climate change levy)—
paragraph 97 (power of arrest), and
paragraph 130 (search warrants).
In FA 2001 (aggregates levy)—
paragraph 6 of Schedule 6 (power of arrest), and
paragraph 7 of Schedule 7 (search warrants).
In the Criminal Justice and Police Act 2001— In Schedule 1 to that Act—
Section 36(2) and (3) of the Tax Credits Act 2002 (c. 21) (search warrants).
Section 323(3)(e) and (f) of the Proceeds of Crime Act 2002 (c. 29) (approval of applications under section 20C of TMA 1970).
Part 7 of Schedule 13 to FA 2003 (stamp duty land tax: search warrants).
In CRCA 2005—
section 13(3)(b) and (c) (Commissioners' functions not delegable to officers), and
section 14(2)(b) and (c) (non-delegable functions of Commissioners).
Section 85
The Criminal Justice and Police Act 2001 is amended as follows.
FA 1997 is amended as follows.
“gaming” has the same meaning as in the Betting and Gaming Duties Act 1981 (see section 33(1));
In section 1(1) of CEMA 1979 (interpretation), in paragraph (a)(ic) of the definition of “revenue trader”, for the words from “any gaming” to the end substitute “gaming within the meaning of the Betting and Gaming Duties Act 1981 (see section 33(1))”.
In section 63(2) (powers to obtain hard copies etc of information stored in electronic form), after paragraph (g) insert—.
In Schedule 1—
in Part 1, after paragraph 59 insert—, and
in Part 2, after paragraph 81 insert—
The amendments made by this Schedule come into force in accordance with provision made by the Treasury by order. The power to make an order under this paragraph is exercisable by statutory instrument.
Section 97
Section 105
Paragraphs 3, 4, 6, 7(1) and (5), 11(1) and (2), 13, 15, 16 and 20(1) and (6) and this paragraph come into force on the day on which this Act is passed. The other provisions of this Schedule come into force in accordance with provision made by the Treasury by order. The power to make an order under this paragraph is exercisable by statutory instrument. An order under this paragraph—
Section 109
Section 114
Short title and chapter Extent of repeal Finance Act 2001 (c. 9) In section 17(3), the word “or” at the end of paragraph (d). Short title and chapter Extent of repeal Finance Act 2000 (c. 17) In Schedule 6— in paragraph 11, in sub-paragraph (1), the words “has, before the supply is made, notified the supplier” and “that he” (in both places), and, in sub-paragraph (3), the words “has, before the supply is made, notified the supplier that” and “he”, paragraph 45(2) to (4), and in paragraph 101, sub-paragraph (1), and, in sub-paragraph (3), the words “notification or”. The repeal of paragraph 45(2) to (4) of Schedule 6 to FA 2000 has effect in accordance with Schedule 2 to this Act.
Short title and chapter Extent of repeal Income Tax Act 2007 (c. 3) In section 104(5), the words “(see section 112)”. Section 106. In section 107(2), the words “(see section 112)”. In section 110(1)(a), the words “(see section 112)”. Section 112(1) to (5). In section 115(1)(d), the words “(see section 112)”. Section 116. These repeals have effect in accordance with Schedule 4 to this Act. Short title and chapter Extent of repeal Taxation of Chargeable Gains Act 1992 (c. 12) Section 8(2A) to (2C). Finance Act 2006 (c. 25) Section 69. These repeals have effect in accordance with section 27 of this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) Section 347A. Section 660C(4). Finance Act 1988 (c. 39) Section 36(1). Capital Allowances Act 2001 (c. 2) In section 228F— subsection (4), and in subsection (8), paragraph (b) (together with the word “and” before it). Income Tax (Trading and Other Income) Act 2005 (c. 5) In Schedule 1, paragraph 272(4). Income Tax Act 2007 (c. 3) In Schedule 1, paragraph 52. These repeals have effect in accordance with Schedule 5 to this Act. Short title and chapter Extent of repeal Taxation of Chargeable Gains Act 1992 (c. 12) In section 184A(2), the words “unless the gains accrue to the company on a disposal of a pre-change asset”. In section 184B(2), the words “unless the loss accrues to the company on a disposal of a pre-change asset”. Finance Act 2006 (c. 25) In section 70(9)— in paragraph (a), the words “or 184B”, paragraph (d) (together with the word “and” following it), and in paragraph (e), the words “, or a qualifying gain for the purposes of section 184B of that Act,”. These repeals have effect in accordance with section 32 of this Act. Short title and chapter Extent of repeal Finance Act 2003 (c. 14) In Schedule 24, in paragraph 9(1), the definition of “the third party”. Finance Act 2004 (c. 12) Section 245(2). Income Tax (Trading and Other Income) Act 2005 (c. 5) In Schedule 1, paragraph 624(2). These repeals have effect in accordance with section 34 of this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In section 804ZA(8)(c), the words “resident in a territory outside the United Kingdom”. This repeal has effect in accordance with section 35 of this Act. Short title and chapter Extent of repeal Taxes Management Act 1970 (c. 9) In section 98, in the Table, the entries relating to section 333B of the Income and Corporation Taxes Act 1988. Income and Corporation Taxes Act 1988 (c. 1) In section 76— in subsection (1), the second sentence, subsection (14), and in subsection (15), the definition of “capital redemption business”. Section 333B. Section 403E(3). In section 431(2), the definitions of “annuity business” and “overseas life assurance fund”. In section 431A(3)(a), the words “and Schedule 19AA”. In section 432A— subsection (4), in subsection (5), the words “(apart from overseas life assurance business)”, in subsection (7)(c)(i), the word “438B,” and subsection (9). In section 432AA— subsection (3), and in subsection (5), the words “(3) or”. Section 432AB(6). In section 432B— in subsection (4), paragraph (b) and the word “and” before it, in subsection (5), the words “the relevant fraction of”, in subsection (7), the words “the relevant fraction of” (in both places), in subsections (8A) and (8C), the words “the relevant fraction of”, and in subsection (9), the definitions of “the relevant fraction” and “the section 83 net amount”. Section 432D. In section 432E— in subsection (3)(b), the words “mentioned in subsection (1) above”, and subsections (5) and (6). In section 432F(2)— the words “For each category of business in relation to which section 432E falls to be applied”, and the words “, after making any reduction required by section 432E(5),”. Section 434(6A)(b). In section 434A(2)(a), the words “the aggregate of” and sub-paragraph (iii). Section 436. Section 438(2) and (4). Section 438B. Section 438C. Section 439. Section 439B. Section 440A(2)(c). Section 441. In section 444A(3), paragraph (b) and the word “or” before it. Sections 458 and 458A. Section 460(2)(cb). Section 461(3A). Section 461B(2A). In section 466— in subsection (2), the definition of “life assurance business”, and subsections (2ZA), (2A) and (2B). In section 804B— in subsection (2), the words “or section 438B”, in subsection (4), the words “or 438B”, and in subsection (6), the words “or 432D” (in both places). Schedule 19AA. Finance Act 1989 (c. 26) In Schedule 8, paragraph 6. Finance Act 1990 (c. 29) In Schedule 6— in paragraph 1(2)(b), the entry relating to “overseas life assurance fund”, and paragraph 7. In Schedule 7, paragraphs 3, 6 and 10(2). Finance Act 1991 (c. 31) In Schedule 7, paragraph 4(1)(b). In Schedule 15, paragraph 16. Taxation of Chargeable Gains Act 1992 (c. 12) In section 204(10)(b), the word “other”. In section 210B(6), paragraph (b) and the word “or” before it. In section 213(1A), the words following “general annuity business”. Finance Act 1995 (c. 4) In Schedule 8— in paragraph 1, the entry relating to “reinsurance business”, paragraph 3, paragraph 5(2), paragraph 8, paragraph 9(2), in paragraph 12(1)(a), the words “section 432C(1), section 432D(1) (in both places) and” and “and (6)(a)”, paragraph 13(5), paragraph 14, paragraph 15, paragraph 16(3), paragraph 17(2), paragraph 27(1) and (2), paragraph 51(5), and in paragraph 55(1), the word “3,”. In Schedule 9, paragraph 1(3). Finance Act 1996 (c. 8) Section 167(2). Section 168(1) and (3). In Schedule 11— in paragraph 3A(5), paragraph (c) and the word “and” before it, and in paragraph 4, in sub-paragraph (1), paragraph (b) and the word “or” before it, and sub-paragraph (16). In Schedule 31, paragraph 7(2). Finance (No. 2) Act 1997 (c. 58) In Schedule 3, paragraphs 3 and 6(3). Finance Act 1998 (c. 36) Section 77. Finance Act 2000 (c. 17) Section 108(1). Section 109(3), (4), (7) and (9)(b). In Schedule 27, paragraph 8. Capital Allowances Act 2001 (c. 2) Section 255(2). Finance Act 2001 (c. 9) In Schedule 22, in paragraph 14(10), “or (6)”. In Schedule 25, paragraphs 5, 6 and 8. Finance Act 2003 (c. 14) In section 153(1)(a), the words “in Schedule 19AA, paragraph 5(5)(c);”. In Schedule 33, paragraphs 1(3)(a) and (4)(a), 6(7)(a), 9, 10(2) and 13(6)(b). Child Trust Funds Act 2004 (c. 6) Section 14. Finance Act 2004 (c. 12) Section 147(1), (2) and (4). In Schedule 7, paragraph 9(1). In Schedule 35, paragraph 22(3). Income Tax (Trading and Other Income) Act 2005 (c. 5) In Schedule 1, paragraphs 143 and 175. Finance (No. 2) Act 2005 (c. 22) In Schedule 9— paragraph 18(5) and (6), and paragraph 19(1) to (3). Income Tax Act 2007 (c. 3) In Schedule 1, paragraphs 78 and 83. These repeals have effect in accordance with section 38 of this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In section 76— in subsection (7), Steps 9 and 10, and subsections (10) and (11). Section 439A. Section 440B(5). Finance Act 1989 (c. 26) Section 88(2). Taxation of Chargeable Gains Act 1992 (c. 12) Section 212(7A). Finance (No.2) Act 1992 (c. 48) Section 65. Finance Act 1993 (c. 34) In Schedule 14, paragraph 9. Finance Act 1995 (c. 4) In Schedule 8— paragraph 12(3), paragraph 16(6), paragraph 20(2), paragraph 26, paragraph 28(5), and paragraph 51(3). Finance Act 1996 (c. 8) In Schedule 11, paragraph 4(12) to (14). Finance (No.2) Act 1997 (c. 58) In Schedule 3, paragraph 15. Finance Act 2002 (c. 23) In Schedule 29, paragraph 36(6). Finance Act 2003 (c. 14) In Schedule 33, paragraph 7. These repeals have effect in accordance with section 39 of this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In section 12(7B), the definition of “insurance business transfer scheme”. In section 444A— in subsection (1), the words “Subject to subsection (7) below,” and subsections (7) and (8). Section 444AB(11) (as originally enacted). In section 444AC(11) (as originally enacted), the definition of “insurance business transfer scheme”. Section 444AD. Section 460(10B). Taxation of Chargeable Gains Act 1992 (c. 12) In Schedule 10, paragraph 14(25). Finance Act 1989 (c. 26) Section 82C. In section 83— subsection (2A)(b), in subsection (2B), the second sentence, subsections (3) to (7), and in subsection (8), the definitions of “add”, “demutualisation” and “total reinsurance”. Section 83AA. Section 83AB. Finance Act 1996 (c. 8) In Schedule 9, in paragraph 12(9), the definition of “insurance business transfer scheme”. In Schedule 31— paragraph 5, paragraph 9, and in paragraph 10(2), the words “Subject to paragraph 9 above,”. Finance Act 2000 (c. 17) In Schedule 29, paragraph 30. Capital Allowances Act 2001 (c. 2) Section 560(5)(b). Finance Act 2002 (c. 23) In section 66— in subsection (5), the definition of “transfer scheme”, and subsections (6) and (7). In Schedule 9, paragraph 5(11). In Schedule 22, in paragraph 10— in sub-paragraph (4), the definition of “transfer scheme”, and sub-paragraphs (5) and (6). In Schedule 26, paragraph 28(5). In Schedule 29, in paragraph 89(3), the definition of “insurance business transfer scheme”. Finance Act 2003 (c. 14) In Schedule 33— paragraph 2(3), (4) and (6), paragraph 5(b), paragraphs 18 and 19, and paragraph 20(4). Finance Act 2004 (c. 12) In Schedule 7— paragraphs 2 to 4, and in paragraph 5(2) and (3). Finance (No.2) Act 2005 (c. 22) In Schedule 9— paragraphs 6 and 7, paragraph 11, paragraph 12(4) and (6), and paragraph 20(3) to (5). Finance Act 2006 (c. 25) In Schedule 11— paragraph 3, paragraph 4, and paragraph 6(2). These repeals have effect in accordance with Schedule 9 to this Act. Short title and chapter Extent of repeal Taxes Management Act 1970 (c. 9) In section 98, in the Table, in both columns, the words “or 441A(3)”. Income and Corporation Taxes Act 1988 (c. 1) In section 12(7B), the words from the beginning to the end of the definition of “contracts of long-term insurance”. In section 76— in subsection (7), in Step 3, the entries relating to section 587B(8)(b)(i) of ICTA and paragraph 23(2) of Schedule 13 to FA 2002, and in subsection (15), the words “and other expressions have the same meaning as in Chapter 1 of Part 12”. Section 431A(7). In section 432YA(5), the definitions of “non-profit company” and “non-profit fund”. In section 432ZA(6), the definition of “internal linked fund”. Section 432A(9A). In section 432E(2A), the words “444ACA(2),” and paragraph (b). Section 440(2A), (2B) and (5). Section 442(4). Sections 443 and 444. Section 444AB(6) (as originally enacted). In section 444AC(11) (as originally enacted), the words from the beginning to the end of the definition of “fair value”. Section 444ACA. Section 444AD(5). In section 502H— in subsection (2), paragraph (b) and the word “and” before it”, and subsections (8) to (10). In section 587B— subsection (8), and in subsection (9), the words ““life assurance business” and related expressions have the same meaning as in Chapter 1 of Part 12;”. In section 587BA— subsection (12), and in subsection (13), paragraph (b) and the word “and” before it. In section 755A(12), the definition of “long-term insurance fund”. Section 804F. In section 807A— subsections (4) and (5)(b), and in subsection (6)(a), the words “or an insurance credit”. In Schedule 28AA, in paragraph 14(1), the definition of “insurance company”. Finance Act 1989 (c. 26) Section 82D(5). In section 83(8), in the definition of “fair value”, paragraph (a). In section 83YA— subsection (8), and in subsection (11), the definition of “with-profits fund”. Section 83YB(5). In section 83A— in subsection (1), the words “In sections 82A to 83AB”, in subsections (2)(b) and (3D)(b), the words “(see subsection (6))”, and subsection (6). Section 84(2), (3), (5) and (6). In section 85— in subsection (2A), the second sentence, and in subsection (3), the words “(including the 1990 component period)”. In section 86— subsections (3) and (3A), and in subsection (10), the words “(including the 1990 component period)”. Section 87. In section 89(6), the words from the beginning to “; and”. Section 90A. Finance Act 1991 (c. 31) In Schedule 7— paragraph 13(2), in paragraph 16(7), the words from “and, subject to that,” to the end, and paragraph 17(4A) and (5). Taxation of Chargeable Gains Act 1992 (c. 12) In section 210B(8), the definition of “internal linked fund”. Section 212(2A). Section 214. Section 214A. Section 214BA. In Schedule 7AC, paragraph 17(5). In Schedule 10, paragraph 14(22)(b). Finance Act 1993 (c. 34) Section 91(5) and (6). Finance Act 1995 (c. 4) In Schedule 8, paragraph 9(3). In Schedule 9— in paragraph 1(2)(d), the words “214(11) and 214A(7)”, and paragraph 5. Finance Act 1996 (c. 8) In section 87A(2), the words “, within the meaning of Chapter 1 of Part 12 of the Taxes Act 1988,” and the words “(see section 431(2) of that Act)”. Section 88(7). In section 103(3), the word “or” at the end of paragraph (a). In Schedule 9— in paragraph 12(9), the definitions of “contracts of long-term insurance” and “overseas life insurance company”, and in paragraph 20(3)(b), the words “, within the meaning of Chapter 1 of Part 12 of the Taxes Act 1988,” and the words “(see section 431(2) of that Act)”. In Schedule 11— paragraph 1, paragraph 2(2) and (3) to (5), paragraph 3A(6), paragraph 4(6), and paragraphs 5 and 6. In Schedule 14, paragraphs 25 and 63. In Schedule 15, paragraph 1(3). In Schedule 31, paragraph 6. Finance Act 1997 (c. 16) In Schedule 12— paragraph 18, and paragraph 19(1) to (3). Finance Act 1998 (c. 36) In Schedule 18— in paragraph 13(3), the words after “1988”, and paragraph 86. Finance Act 1999 (c. 16) In Schedule 6, paragraph 4. Finance Act 2000 (c. 17) In Schedule 30, paragraph 19. Capital Allowances Act 2001 (c. 2) Section 257(3). Section 544(5). Section 560(5)(a) and (c). Finance Act 2001 (c. 9) Section 87(3) and (4). In Schedule 22, in paragraph 31(1), the definitions of “insurance company” and “life assurance business”. Finance Act 2002 (c. 23) In section 66(5), the words from the beginning to the end of the definition of “long-term insurance fund”. In Schedule 12, in paragraph 19(1), the definition of “life assurance business”. In Schedule 13— paragraphs 22 and 23, paragraph 25(3), and in paragraph 27, the definition of “life assurance business”. In Schedule 22, in paragraph 10(4), the words before the definition of “transfer scheme”. In Schedule 26— in paragraph 12, in sub-paragraph (1), the references to the expressions “Integrated Prudential Sourcebook” and “long-term insurance fund” and sub-paragraphs (15) and (16), and in paragraph 54(1), the definitions of “insurance company”, “life assurance business”, “long-term insurance business” and “contract of long-term insurance”. In Schedule 27, paragraph 5. In Schedule 29— paragraph 36(4) and (5), in paragraph 89(3), the definition of “contracts of long-term insurance”, and paragraph 138(1). Finance Act 2003 (c. 14) In Schedule 33, paragraphs 1(2), 26 and 30 to 32. Finance Act 2004 (c. 12) In Schedule 10, paragraphs 43 and 70. Finance (No.2) Act 2005 (c. 22) In Schedule 9, paragraphs 4, 8, and 13(5). Finance Act 2006 (c. 25) Section 134(4)(c). Income Tax Act 2007 (c. 3) In section 442(6), paragraph (b) and the word “and” before it. Section 443(6). In Schedule 1, paragraph 137(8). These repeals have effect in accordance with Schedule 10 to this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) Section 804E(3)(d). Finance Act 2000 (c. 17) Section 107. Finance Act 2003 (c. 14) Section 153(1)(c). These repeals have effect in accordance with Schedule 11 to this Act. Short title and chapter Extent of repeal Finance (No.2) Act 1992 (c. 48) In Schedule 9, paragraphs 8(3) and 11(2). These repeals have effect in accordance with Schedule 12 to this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) Section 437(1C)(c)(i) and (d)(i). Section 656(5) and (6). Section 658(1) and (4) to (6). In section 828(4), the word “658(3)”. Income Tax (Trading and Other Income) Act 2005 (c. 5) Section 717(3). Section 723. Section 724(2). Section 873(3)(b). In Schedule 1, paragraphs 268(3) and 270. In Schedule 2, paragraphs 143 and 145. Commissioners for Revenue and Customs Act 2005 (c. 11) In Schedule 4, paragraph 133(5). These repeals have effect in accordance with section 46 of this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In section 231AA(4), the words “or 737A(5)”. Sections 730A to 730BB. In section 731(2A), the words “section 737A(5) below or”. Sections 737A to 737C. Section 737E. Taxation of Chargeable Gains Act 1992 (c. 12) Section 263A(2). Finance Act 1994 (c. 9) Section 122. Finance Act 1995 (c. 4) Section 80(1) and (3). Finance Act 1996 (c. 8) Section 100(2A). In Schedule 14, paragraph 37. Finance Act 1997 (c. 16) Section 91(5). Finance Act 2002 (c. 23) In Schedule 25, paragraphs 32 and 52. Finance Act 2003 (c. 14) In Schedule 38, paragraphs 2, 3, 5, 7 to 14, 16 to 20 and 21(3). Finance Act 2004 (c. 12) In Schedule 10, paragraphs 44 and 78. Finance (No.2) Act 2005 (c. 22) In Schedule 7, paragraph 19. Finance Act 2006 (c. 25) Section 139(5). In Schedule 6, paragraphs 5 and 20. Income Tax Act 2007 (c. 3) In Schedule 1, paragraphs 164 to 166, 173, 174 and 334. These repeals have effect in accordance with section 47 of this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In section 748(1), paragraph (c) (together with the word “or” at the end of it). In Schedule 25, Part 3. Finance Act 1996 (c. 8) In Schedule 38, in paragraph 6— in sub-paragraph (2), paragraph (m) (together with the word “and” before it), and in sub-paragraph (5), the words “and (m)”. These repeals have effect in accordance with Schedule 15 to this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In section 297(5A), paragraphs (b) and (c) and the words after paragraph (c). In section 312(1), in the definition of “qualifying 90% subsidiary”, the words “to (13)”. Finance Act 2000 (c. 17) In Schedule 15— in paragraph 15, the word “and” at the end of paragraph (f), and paragraph 23(10) and (11). Finance Act 2004 (c. 12) In Schedule 18, paragraph 1(8). In Schedule 20, paragraph 7(d). Income Tax Act 2007 (c. 3) In section 195(6), the definition of “holding company”. In section 274(3), the word “and” at the end of paragraph (c). In section 284(d), the words “for Her Majesty’s Revenue and Customs”. In section 306(6), the definition of “holding company”. In section 327(1), the word “and” immediately before “section 297”. These repeals have effect in accordance with Schedule 16 to this Act. Short title and chapter Extent of repeal Finance Act 2006 (c. 25) Section 107(5), (7) and (7A). In section 115(2), the words “+ Financing Costs”. In Schedule 17— paragraph 6(2) and (3), and in paragraph 14, the words “+ FinancingCosts (all)” and paragraph (b) of the substituted subsection (2). Income Tax Act 2007 (c. 3) In Schedule 1, paragraph 617. These repeals have effect in accordance with section 52 of this Act. Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In Schedule 27, in paragraph 6(1)(c), the words “without regard to the provisions of this paragraph,”. This repeal has effect in accordance with section 57 of this Act. Short title and chapter Extent of repeal Income Tax (Earnings and Pensions) Act 2003 (c. 1) Section 219(5) and (6). This repeal has effect in accordance with section 62 of this Act.
Short title and chapter Extent of repeal Inheritance Tax Act 1984 (c. 51) In section 151C(4), the word “and” at the end of the definition of “dependant”. In Schedule 2, paragraph 6A. Income Tax (Earnings and Pensions) Act 2003 (c. 1) In section 636A— in subsection (1), paragraph (f) and the word “or” before it, and in subsection (7), the words ““transfer lump sum death benefit”,”. Finance Act 2004 (c. 12) Section 168(1)(g). Section 172B(5)(a). In section 188(5), paragraph (b) and the word “and” before it. In section 280(2), the entry relating to transfer lump sum death benefit. In Schedule 28, paragraph 12(3) and (4). In Schedule 29, paragraph 19. In Schedule 34, in— paragraph 1(6), and paragraph 4(3), the words from “but also” to the end. In Schedule 36, in paragraph 17A— in sub-paragraph (1), paragraph (c) and the word “or” before it, and in sub-paragraph (2), the words “, or to a transfer lump sum death benefit being paid,”. Finance Act 2006 (c. 25) In Schedule 22, paragraph 11. These repeals have effect in accordance with Schedule 19 to this Act. Short title and chapter Extent of repeal Pension Schemes Act 1993 (c. 48) In section 1(1), in the definition of “personal pension scheme”, in paragraph (b), the words “any of the paragraphs of”. Pension Schemes (Northern Ireland) Act 1993 (c. 49) In section 1(1), in the definition of “personal pension scheme”, in paragraph (b), the words “any of the paragraphs of”. Finance Act 2004 (c. 12) In section 154— subsection (3), and in subsection (4), the words “and section 155”. Section 155. In section 273— in subsection (5)(a), the words “was established by a person or body specified in section 154(1)(a) to (g) (insurance companies etc) and”, and in subsection (7), the words “was established by a person or body specified in section 154(1)(a) to (g) and”. In Schedule 29— in paragraph 1(1), paragraph (e) (but not including the word “and” at the end), and paragraph 10(3)(a). In Schedule 29A, paragraph 22(2). In Schedule 36, in paragraph 12— in sub-paragraph (7), paragraph (a) and, in paragraph (b), the words “held for the purposes of, or representing accrued rights under, the arrangement”, in sub-paragraph (8)(a), the words “, or two or more money purchase arrangements that are not cash balance arrangements,” and the word “or” at the end, and in sub-paragraph (9)(a), the words “, or each of the arrangements,” and the word “and” at the end. These repeals have effect in accordance with Schedule 20 to this Act.
Short title and chapter Extent of repeal Finance Act 2003 (c. 14) In Schedule 15— paragraphs 13 and 14(1)(b) and (4), and in the italic cross-heading before paragraph 14, the words “for consideration”. These repeals have effect in accordance with section 72 of this Act. Short title and chapter Extent of repeal Finance Act 1986 (c. 41) In section 80B(2), the definition of “EEA exchange”. In section 80C(7), the definition of “EEA exchange” (together with the word “and” at the end of it). In section 88B(2), the definition of “EEA exchange”. In section 89AA(6), the definition of “EEA exchange”. Finance (No.2) Act 2005 (c. 22) Section 50. Finance Act 2007 (c. 11) Section 73. Schedule 21. Subject to Note 2, these repeals have effect in accordance with Schedule 21 to this Act. The repeals of section 73 of, and Schedule 21 to, this Act have effect in accordance with sections 108 and 110 of FA 1990. Short title and chapter Extent of repeal School Standards and Framework Act 1998 (c. 31) Sections 79 and 79A. Education and Inspections Act 2006 (c. 40) In Part 3 of Schedule 4, paragraph 20. These repeals have effect in accordance with section 79 of this Act. Short title and chapter Extent of repeal Finance Act 2003 (c. 14) In section 76(3), paragraph (b) and the word “and” before it. In section 81(2), paragraph (b) and the word “and” before it. In Schedule 10, in paragraph 2(2), paragraph (b) and the word “and” before it. These repeals have effect in accordance with section 80 of this Act.
Short title and chapter Extent of repeal Taxes Management Act 1970 (c. 9) Sections 20C and 20CC. In section 118(1), in the definition of “tax”, the word “, 20C”. Customs and Excise Management Act 1979 (c. 2) In section 118C— in subsection (3), paragraph (c) and the word “or” before it, in subsection (4)(b), the words “or in respect of a gaming duty offence”, and in subsection (5), the words from “and “a gaming duty offence”” to the end. Betting and Gaming Duties Act 1981 (c. 63) In Schedule 1, paragraph 16. In Schedule 3, paragraph 17. In Schedule 4, paragraph 17. Finance Act 1984 (c. 43) In Schedule 3, paragraph 7(12). Police and Criminal Evidence Act 1984 (c. 60) In Schedule 6, paragraph 39(b) to (d). Finance Act 1989 (c. 26) Section 146 and 147. Section 148(4). Finance Act 1994 (c. 9) In Schedule 7, paragraph 4(2) to (7). Value Added Tax Act 1994 (c. 23) Section 72(9). In Schedule 11, paragraph 10(3) to (6). Finance Act 1995 (c. 4) In Schedule 3, paragraph 11(10). Criminal Procedure (Consequential Provisions) (Scotland) Act 1995 (c. 40) In Schedule 4, paragraph 91(a). Finance Act 1996 (c. 8) In Schedule 5, paragraphs 5 and 6. Finance Act 1997 (c. 16) In Schedule 2, paragraph 4(3) to (5). Finance Act 2000 (c. 17) Section 149(4). Section 150. In Schedule 6, paragraphs 97 and 130. Finance Act 2001 (c. 9) In Schedule 6, paragraph 6. In Schedule 7, paragraph 7. Criminal Justice and Police Act 2001 (c. 16) Section 57(1)(c). Section 63(2)(e). Section 65(3). In Schedule 1, paragraphs 13, 28, 29, 57, 58, 61 and 72. In Schedule 2, paragraph 13(2)(d). Tax Credits Act 2002 (c. 21) Section 36(2) and (3). Proceeds of Crime Act 2002 (c. 29) Section 323(3)(e) and (f). Finance Act 2003 (c. 14) Part 7 of Schedule 13. Commissioners for Revenue and Customs Act 2005 (c. 11) Section 13(3)(b) and (c). Section 14(2)(b) and (c). In Schedule 2, paragraphs 7 and 9. These repeals have effect in accordance with section 84(5) of this Act. Short title and chapter Extent of repeal Criminal Law (Consolidation) (Scotland) Act 1995 (c. 39) Section 24(9). This repeal has effect in accordance with Schedule 23 to this Act. Short title and chapter Extent of repeal Taxes Management Act 1970 (c. 9) In section 8— in subsection (1)(a), the words “, on or before the day mentioned in subsection (1A) below”, and subsection (1A). In section 8A— in subsection (1)(a) the words “, on or before the day mentioned in subsection (1A) below”, and subsection (1A). In section 33A(9), the definition of “filing date”. In section 93A(8), the definition of “the filing date”. Finance Act 1996 (c. 8) Section 125(3). These repeals have effect in accordance with section 92 of this Act. Short title and chapter Extent of repeal Value Added Tax Act 1994 (c. 23) In section 76(3), the word “and” at the end of paragraph (d). Commissioners for Revenue and Customs Act 2005 (c. 11) In Schedule 2, paragraph 12. In Schedule 4, paragraph 95(2). Short title and chapter Extent of repeal Taxes Management Act 1970 (c. 9) Section 95. Section 95A. Section 97. Section 98A(4). Section 100A(1). Section 103(2). Finance Act 1989 (c. 26) Section 163(1)(a). Finance Act 1994 (c. 9) In Schedule 19, paragraphs 27(1), 28 and 32. Value Added Tax Act 1994 (c. 23) Sections 60 and 61. Sections 63 and 64. Finance Act 1996 (c. 8) Section 36. Section 123(12) and (13). Finance Act 1998 (c. 36) In Schedule 18, paragraphs 20 and 89. Finance Act 2001 (c. 9) Section 98(3). In Schedule 29, paragraph 32. These repeals have effect in accordance with section 97 of this Act.
Short title and chapter Extent of repeal Value Added Tax Act 1994 (c. 23) In Schedule 4, paragraph 5(4A). Finance Act 2003 (c. 14) Section 22. These repeals have effect in accordance with section 99 of this Act. Short title and chapter Extent of repeal Value Added Tax Act 1994 (c. 23) In section 49(1), paragraph (b) (together with the word “and” before it). This repeal has effect in accordance with section 100 of this Act. Short title and chapter Extent of repeal Finance Act 1966 (c. 18) In Schedule 3, paragraph 6. Betting and Gaming Duties Act 1981 (c. 63) In section 3(1), paragraph (b) (together with the word “and” before it). In section 5C(5), paragraph (b) (together with the word “or” before it). In section 12(4)— in the definition of “betting office licence”, paragraph (a) (together with the word “and” following it), in the definition of “bookmaker’s permit”, paragraph (a) (together with the word “and” following it), and the definitions of “meeting”, “totalisator” and “track”. In section 20A(1), paragraph (a) (together with the word “or” following it). In Schedule 1— paragraph 7, and in paragraph 15, in sub-paragraph (2), the words “in England or Wales or Northern Ireland”, sub-paragraphs (3) to (4A), and in sub-paragraph (5), the words “in Northern Ireland”. Finance Act 1986 (c. 41) In Schedule 4— paragraph 4(b), and in paragraph 11, in sub-paragraph (1), the words from “in paragraph 7” to the end, and sub-paragraph (2)(a) and (b). Finance Act 1993 (c. 34) In section 24(4)— in paragraph (a), the words “the Lotteries and Amusements Act 1976 or”, in paragraph (b), the words “Act or”, in paragraph (c), the words “Act or” and “section 5(3) of that Act or”, and paragraph (d). Finance Act 1997 (c. 16) In section 10(3)— paragraph (c), and in paragraph (d), the words “section 41 of that Act or”. Access to Justice Act 1999 (c. 22) In Schedule 13, paragraph 120. Finance Act 2002 (c. 23) Section 13. In Schedule 4, paragraph 10(14). Finance Act 2003 (c. 14) Section 9(4). Courts Act 2003 (c. 39) In Schedule 8, paragraph 266. Income Tax Act 2007 (c. 3) In Schedule 1, in paragraph 94(2)(e), sub-paragraph (iii) (together with the word “and” before it). These repeals have effect in accordance with Schedule 25 to this Act. Short title and chapter Extent of repeal Taxes Management Act 1970 (c. 9) In section 98C(2), the word “or” at the end of paragraph (c). Short title and chapter Extent of repeal Income and Corporation Taxes Act 1988 (c. 1) In Schedule 20, in paragraph 5, the words “, or which are dealt in on the Unlisted Securities Market”. Taxation of Chargeable Gains Act 1992 (c. 12) In section 130(1)(a), the words “in the United Kingdom or elsewhere”. In section 146(4)(b), the words “in the United Kingdom or elsewhere”. Section 285. Finance Act 1996 (c. 8) In Schedule 38, paragraphs 7 and 12(1). Financial Services and Markets Act 2000 (c. 8) In Schedule 20, paragraph 4(6). Income Tax (Trading and Other Income) Act 2005 (c. 5) Section 443(2)(g). In section 460(3), the words “or 451”. Income Tax Act 2007 (c. 3) In section 295(3)(c), the words “on the Unlisted Securities Market or dealt in”. Section 1010. In Schedule 1, paragraph 227.