Fourth Regional Technical Advisory Group Meeting on Elimination of Kala-azar, 12-14 July 2011, Kathmandu, Nepal.

(standard rate of duty on beer), for “£13.26” substitute <quotedText>“ £13.71 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-5-3"><num>(3)</num><intro><p>In section 62(1A) (rates of duty on cider)—</p></intro><level class="para1" eId="section-5-3-a"><num>(a)</num><content><p><mod>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 <quotedText>“ £172.33 ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-5-3-b"><num>(b)</num><content><p><mod>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 <quotedText>“ £39.73 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-5-3-c"><num>(c)</num><content><p><mod>in paragraph (c) (rate of duty per hectolitre in any other case), for “£25.61” substitute <quotedText>“ £26.48 ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-5-4"><num>(4)</num><content><p><mod>For Part 1 of the Table in Schedule 1 substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><part><num><b>Part 1</b></num><heading>Wine and made-wine of a strength not exceeding 22 per cent</heading><content><tblock class="table" ukl:Orientation="portrait"><foreign><default:table xmlns="http://www.w3.org/1999/xhtml"><default:tbody><default:tr><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Description of wine or made-wine</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Rates of duty per hectolitre</i></p></default:th></default:tr><default:tr><default:td/><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Wine or made-wine of a strength not exceeding 4 per cent</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">54.85</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Wine or made-wine of a strength exceeding 4 per cent but not exceeding 5.5 per cent</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">75.42</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Wine or made-wine of a strength exceeding 5.5 per cent but not exceeding 15 per cent and not sparkling</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">177.99</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Sparkling wine or sparkling made-wine of a strength exceeding 5.5 per cent but less than 8.5 per cent</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">172.33</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Sparkling wine or sparkling made-wine of a strength of 8.5 per cent or of a strength exceeding 8.5 per cent but not exceeding 15 per cent</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">227.99</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Wine or made-wine of a strength exceeding 15 per cent but not exceeding 22 per cent</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">237.31</p></default:td></default:tr></default:tbody></default:table></foreign></tblock></content></part></quotedStructure><inline name="appendText">.</inline></mod></p></content></subsection><subsection eId="section-5-5"><num>(5)</num><content><p>The amendments made by this section are deemed to have come into force on 26th March 2007.</p></content></subsection></section><section eId="section-6"><num>6</num><heading>Rates of tobacco products duty</heading><subsection eId="section-6-1"><num>(1)</num><content><p><mod>For the Table in Schedule 1 to the Tobacco Products Duty Act 1979 (c. 7) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><tblock class="table" ukl:Orientation="portrait"><heading><inline name="smallCaps">Table</inline></heading><foreign><default:table xmlns="http://www.w3.org/1999/xhtml"><default:tbody><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">1. Cigarettes</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">An amount equal to 22 per cent of the retail price plus £108.65 per thousand cigarettes.</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">2. Cigars</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£158.24 per kilogram.</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">3. Hand-rolling tobacco</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£113.74 per kilogram.</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">4. Other smoking tobacco and chewing tobacco</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£69.57 per kilogram.</p></default:td></default:tr></default:tbody></default:table></foreign></tblock></quotedStructure></mod></p></content></subsection><subsection eId="section-6-2"><num>(2)</num><content><p>The amendment made by subsection (1) is deemed to have come into force at 6 p.m. on 21st March 2007.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-1-crossheading-gambling"><heading><i>Gambling</i></heading><section eId="section-7"><num>7</num><heading>Rates of gaming duty</heading><subsection eId="section-7-1"><num>(1)</num><content><p><mod>For the Table in section 11(2) of FA 1997 substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><tblock class="table" ukl:Orientation="portrait"><heading><inline name="smallCaps">Table</inline></heading><foreign><default:table xmlns="http://www.w3.org/1999/xhtml"><default:tbody><default:tr><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Part of gross gaming yield</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Rate</i></p></default:th></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">The first £1,836,500</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">15 per cent.</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">The next £1,266,000</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">20 per cent.</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">The next £2,217,500</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">30 per cent.</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">The next £4,680,000</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">40 per cent.</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">The remainder</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">50 per cent.</p></default:td></default:tr></default:tbody></default:table></foreign></tblock></quotedStructure></mod></p></content></subsection><subsection eId="section-7-2"><num>(2)</num><content><p><mod>In section 11(3) of that Act, for “40 per cent” substitute <quotedText>“ 50 per cent ”</quotedText>.</mod></p></content></subsection><subsection eId="section-7-3"><num>(3)</num><content><p>The amendments made by this section have effect in relation to accounting periods beginning on or after 1st April 2007.</p></content></subsection></section><section eId="section-8"><num>8</num><heading>Remote gaming duty</heading><subsection eId="section-8-1"><num>(1)</num><content><p>Schedule 1 contains amendments of and relating to Part 2 of BGDA 1981 (gaming duties) imposing a remote gaming duty.</p></content></subsection><subsection eId="section-8-2"><num>(2)</num><content><p>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.</p></content></subsection></section><section eId="section-9"><num>9</num><heading>Amusement machine licence duty</heading><subsection eId="section-9-1"><num>(1)</num><content><p>Section 23 of BGDA 1981 (amount of duty payable on amusement machine licence) is amended as follows.</p></content></subsection><subsection eId="section-9-2"><num><noteRef href="#key-5a2845628dc20e56874080b0738e4ee5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(2)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-9-3"><num>(3)</num><content><p><mod>After subsection (6) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(7)</num><content><p>The Commissioners may by order substitute for a sum for the time being specified in subsection (3) such higher sum as they consider appropriate.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-9-4"><num><noteRef href="#key-983a973638c4a487380c9e1a0b9268c2" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(4)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-1-crossheading-environment"><heading><i>Environment</i></heading><section eId="section-10"><num>10</num><heading>Fuel duty rates and rebates</heading><subsection eId="section-10-1"><num>(1)</num><content><p>The Hydrocarbon Oil Duties Act 1979 (c. 5) is amended as follows.</p></content></subsection><subsection eId="section-10-2"><num>(2)</num><intro><p>In section 6(1A) (hydrocarbon oil: rates of duty)—</p></intro><level class="para1" eId="section-10-2-a"><num>(a)</num><content><p><mod>in paragraph (a) (ultra low sulphur petrol), for “£0.4835” substitute <quotedText>“ £0.5035 ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-10-2-b"><num>(b)</num><content><p><mod>in paragraph (aa) (sulphur-free petrol), for “£0.4835” substitute <quotedText>“ £0.5035 ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-10-2-c"><num>(c)</num><content><p><mod>in paragraph (b) (light oil other than ultra low sulphur petrol and sulphur-free petrol), for “£0.5768” substitute <quotedText>“ £0.6007 ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-10-2-d"><num>(d)</num><content><p><mod>in paragraph (c) (ultra low sulphur diesel), for “£0.4835” substitute <quotedText>“ £0.5035 ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-10-2-e"><num>(e)</num><content><p><mod>in paragraph (ca) (sulphur-free diesel), for “£0.4835” substitute <quotedText>“ £0.5035 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-10-2-f"><num>(f)</num><content><p><mod>in paragraph (d) (heavy oil other than ultra low sulphur diesel and sulphur-free diesel), for “£0.5468” substitute <quotedText>“ £0.5694 ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-10-3"><num>(3)</num><content><p><mod>In section 6AA(3) (biodiesel), for “£0.2835” substitute <quotedText>“ £0.3035 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-10-4"><num>(4)</num><content><p><mod>In section 6AD(3) (bioethanol), for “£0.2835” substitute <quotedText>“ £0.3035 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-10-5"><num>(5)</num><intro><p>In section 8(3) (road fuel gas)—</p></intro><level class="para1" eId="section-10-5-a"><num>(a)</num><content><p><mod>in paragraph (a) (natural road fuel gas), for “£0.1081” substitute <quotedText>“ £0.1370 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-10-5-b"><num>(b)</num><content><p><mod>in paragraph (b) (other road fuel gas), for “£0.1221” substitute <quotedText>“ £0.1649 ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-10-6"><num>(6)</num><intro><p>In section 11(1) (rebate on heavy oil)—</p></intro><level class="para1" eId="section-10-6-a"><num>(a)</num><content><p><mod>in paragraph (a) (fuel oil), for “£0.0729” substitute <quotedText>“ £0.0929 ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-10-6-b"><num>(b)</num><content><p><mod>in paragraph (b) (gas oil which is not ultra low sulphur diesel), for “£0.0769” substitute <quotedText>“ £0.0969 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-10-6-c"><num>(c)</num><content><p><mod>in paragraph (ba) (ultra low sulphur diesel), for “£0.0769” substitute <quotedText>“ £0.0969 ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-10-7"><num>(7)</num><content><p><mod>In section 13A(1) (rebate on unleaded petrol), for “£0.0617” substitute <quotedText>“ £0.0642 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-10-8"><num>(8)</num><content><p><mod>In section 14(1) (rebate on light oil for use as furnace oil), for “£0.0729” substitute <quotedText>“ £0.0929 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-10-9"><num>(9)</num><content><p>The amendments made by this section come into force on 1st October 2007.</p></content></subsection></section><section eId="section-11"><num>11</num><heading>Rates of vehicle excise duty</heading><subsection eId="section-11-1"><num>(1)</num><content><p>Schedule 1 to <abbr class="acronym" title="Vehicle Excise and Registration Act">VERA</abbr> 1994 (annual rates of duty) is amended as follows.</p></content></subsection><subsection eId="section-11-2"><num>(2)</num><intro><p>In paragraph 1 (general)—</p></intro><level class="para1" eId="section-11-2-a"><num>(a)</num><content><p><mod>in sub-paragraph (2) (vehicle not covered elsewhere in Schedule otherwise than with engine cylinder capacity not exceeding 1,549cc), for “£175” substitute <quotedText>“ £180 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-11-2-b"><num>(b)</num><content><p><mod>in sub-paragraph (2A) (vehicle not covered elsewhere in Schedule with engine cylinder capacity not exceeding 1,549cc), for “£110” substitute <quotedText>“ £115 ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-11-3"><num>(3)</num><content><p>Paragraph 1B (graduated rates for light passenger vehicles) is amended as follows.</p></content></subsection><subsection eId="section-11-4"><num>(4)</num><content><p><mod>For the words from “Table A” to “date,” substitute <quotedText>“ the following table ”</quotedText>.</mod></p></content></subsection><subsection eId="section-11-5"><num>(5)</num><content><p><mod>For “, or is liable to the standard rate or the premium” substitute<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><tblock class="table" ukl:Orientation="portrait"><heading><inline name="smallCaps">Table</inline></heading><foreign><default:table xmlns="http://www.w3.org/1999/xhtml"><default:tbody><default:tr><default:th colspan="2"><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>CO₂ emissions figure</i></p></default:th><default:th colspan="2"><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Rate</i></p></default:th></default:tr><default:tr><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>(1)</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>(2)</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>(3)</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>(4)</i></p></default:th></default:tr><default:tr><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Exceeding</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Not exceeding</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Reduced rate</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Standard rate</i></p></default:th></default:tr><default:tr><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>g/km</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>g/km</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>£</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>£</i></p></default:th></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">100</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">120</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">15</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">35</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">120</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">150</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">95</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">115</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">150</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">165</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">120</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">140</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">165</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">185</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">145</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">165</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">185</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">225</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">190</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">205</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">225</p></default:td><default:td/><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">285</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">300</p></default:td></default:tr></default:tbody></default:table></foreign></tblock></quotedStructure></mod></p><p><mod><quotedText startQuote="&#x201C;">The table has effect in relation to vehicles first registered before 23rd March 2006 as if— </quotedText><quotedStructure endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><level class="para1"><num>(a)</num><content><p><mod>in column (3), in the last row, “190” were substituted for <quotedText>“ 285 ”</quotedText>, and</mod></p></content></level><level class="para1"><num>(b)</num><content><p><mod>in column (4), in the last row, “205” were substituted for <quotedText>“ 300 or is liable to the standard ”</quotedText>.</mod></p></content></level></quotedStructure><inline name="appendText">.</inline></mod></p></content></subsection><subsection eId="section-11-6"><num>(6)</num><content><p>For Tables A and B substitute—</p></content></subsection><subsection eId="section-11-7"><num>(7)</num><content><p><mod>For paragraphs 1D and 1E substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><section><num>1D</num><heading><i>The standard rate</i></heading><content><p>A vehicle is liable to the standard rate of duty if it does not qualify for the reduced rate of duty.</p></content></section></quotedStructure></mod></p></content></subsection><subsection eId="section-11-8"><num>(8)</num><intro><p>In paragraph 1J (light goods vehicles)—</p></intro><level class="para1" eId="section-11-8-a"><num>(a)</num><content><p><mod>in sub-paragraph (a) (vehicle which is not lower-emission van), for “£170” substitute <quotedText>“ £175 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-11-8-b"><num>(b)</num><content><p><mod>in sub-paragraph (b) (lower-emission van), for “£110” substitute <quotedText>“ £115 ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-11-9"><num>(9)</num><intro><p>In paragraph 2(1) (motorcycles)—</p></intro><level class="para1" eId="section-11-9-a"><num>(a)</num><content><p><mod>in paragraph (b) (motorbicycle and engine's cylinder capacity more than 150cc but not more than 400cc), for “£31” substitute <quotedText>“ £32 ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-11-9-b"><num>(b)</num><content><p><mod>in paragraph (c) (motorbicycle and engine's cylinder capacity more than 400cc but not more than 600cc), for “£46” substitute <quotedText>“ £47 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-11-9-c"><num>(c)</num><content><p><mod>in paragraph (d) (any other case), for “£62” substitute <quotedText>“ £64 ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-11-10"><num>(10)</num><content><p>The amendments made by this section have effect in relation to licences taken out on or after 22nd March 2007.</p></content></subsection></section><section eId="section-12"><num><noteRef href="#key-eace85524aaafb2b516c113aed37b4b5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>12</num><heading>Rates of air passenger duty</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section><section eId="section-13"><num>13</num><heading>Rates of climate change levy</heading><subsection eId="section-13-1"><num>(1)</num><content><p><mod>For the Table in paragraph 42(1) of Schedule 6 to FA 2000 substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><tblock class="table" ukl:Orientation="portrait"><heading><inline name="smallCaps">Table</inline></heading><foreign><default:table xmlns="http://www.w3.org/1999/xhtml"><default:tbody><default:tr><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Taxable commodity supplied</i></p></default:th><default:th><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0"><i>Rate at which levy payable if supply is not a reduced-rate supply</i></p></default:th></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Electricity</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£0.00456 per kilowatt hour</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Gas supplied by a gas utility or any gas supplied in a gaseous state that is of a kind supplied by a gas utility</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£0.00159 per kilowatt hour</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Any petroleum gas, or other gaseous hydrocarbon, supplied in a liquid state</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£0.01018 per kilogram</p></default:td></default:tr><default:tr><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">Any other taxable commodity</p></default:td><default:td><p xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0">£0.01242 per kilogram</p></default:td></default:tr></default:tbody></default:table></foreign></tblock></quotedStructure><inline name="appendText">.</inline></mod></p></content></subsection><subsection eId="section-13-2"><num>(2)</num><content><p>The amendment made by subsection (1) has effect in relation to supplies treated as taking place on or after 1st April 2008.</p></content></subsection></section><section eId="section-14"><num>14</num><heading>Rate of aggregates levy</heading><subsection eId="section-14-1"><num>(1)</num><content><p><mod>In section 16(4) of FA 2001 (rate of aggregates levy), for “£1.60” substitute <quotedText>“ £1.95 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-14-2"><num>(2)</num><content><p>The amendment made by subsection (1) has effect in relation to aggregate subjected to commercial exploitation on or after 1st April 2008.</p></content></subsection></section><section eId="section-15"><num>15</num><heading>Rates of landfill tax</heading><subsection eId="section-15-1"><num>(1)</num><content><p>Section 42 of FA 1996 (amount of landfill tax) is amended as follows.</p></content></subsection><subsection eId="section-15-2"><num>(2)</num><intro><p>In—</p></intro><level class="para1" eId="section-15-2-a"><num>(a)</num><content><p>subsection (1)(a) (the standard rate), and</p></content></level><level class="para1" eId="section-15-2-b"><num>(b)</num><content><p>subsection (2) (reference to the standard rate taken to be £2 in cases of disposals of qualifying material),</p></content></level><wrapUp><p><mod>for “£21” substitute <quotedText>“ £24 ”</quotedText>.</mod></p></wrapUp></subsection><subsection eId="section-15-3"><num>(3)</num><content><p>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).</p></content></subsection><subsection eId="section-15-4"><num>(4)</num><content><p><mod>In subsection (1)(a), for “£24” substitute <quotedText>“ £32 ”</quotedText> and, in subsection (2), for “£24 were to £2” substitute <quotedText>“ £32 were to £2.50 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-15-5"><num>(5)</num><content><p>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.</p></content></subsection></section><section eId="section-16"><num>16</num><heading>Emissions trading: charges for allocations</heading><subsection eId="section-16-1"><num>(1)</num><content><p>The Treasury may impose charges by providing for Community tradeable emissions allowances to be allocated in return for payment.</p></content></subsection><subsection eId="section-16-2"><num>(2)</num><content><p>The Treasury must by regulations make provision for and in connection with allocations of allowances in return for payment.</p></content></subsection><subsection eId="section-16-3"><num><noteRef href="#key-2057cd8ee5d402efe8c6aa1cda51551b" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(3)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-16-4"><num>(4)</num><intro><p>The regulations may make any other provision about allocations which the Treasury consider appropriate, including (in particular)—</p></intro><level class="para1" eId="section-16-4-a"><num>(a)</num><content><p>provision as to the imposition of fees, and as to the making and forfeiting of deposits, in connection with participation in allocations,</p></content></level><level class="para1" eId="section-16-4-b"><num>(b)</num><content><p>provision as to the persons by whom allocations are to be conducted,</p></content></level><level class="para1" eId="section-16-4-c"><num>(c)</num><content><p>provision for the <ins class="substitution first last" ukl:ChangeId="key-065f5dc38092ab69fb44edff4a5a461d-1495197845710" ukl:CommentaryRef="key-065f5dc38092ab69fb44edff4a5a461d"><noteRef uk:name="commentary" href="#key-065f5dc38092ab69fb44edff4a5a461d" class="commentary"/>creation of criminal offences, or for the imposition and recovery of civil penalties,</ins> for failure to comply with the terms of a scheme made under subsection (5),</p></content></level><level class="para1" eId="section-16-4-d"><num>(d)</num><content><p>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</p></content></level><level class="para1" eId="section-16-4-e"><num>(e)</num><content><p>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).</p></content></level></subsection><subsection eId="section-16-5"><num>(5)</num><intro><p>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—</p></intro><level class="para1" eId="section-16-5-a"><num>(a)</num><content><p>who may participate in allocations,</p></content></level><level class="para1" eId="section-16-5-b"><num>(b)</num><content><p>the allowances to be allocated, and</p></content></level><level class="para1" eId="section-16-5-c"><num>(c)</num><content><p>where and when allocations are to take place.</p></content></level></subsection><subsection eId="section-16-6"><num>(6)</num><intro><p>“Community tradeable emissions allowances” are transferable allowances which—</p></intro><level class="para1" eId="section-16-6-a"><num>(a)</num><content><p>relate to the making of emissions of greenhouse gases, and</p></content></level><level class="para1" eId="section-16-6-b"><num>(b)</num><content><p>are allocated as part of a system made for the purpose of implementing any <abbr class="acronym" title="European Union"><ins class="substitution first last" ukl:ChangeId="key-6997539842c323f1c6c199ee19f06a06-1519289782175" ukl:CommentaryRef="key-6997539842c323f1c6c199ee19f06a06"><noteRef uk:name="commentary" href="#key-6997539842c323f1c6c199ee19f06a06" class="commentary"/>EU</ins></abbr> obligation of the United Kingdom relating to such emissions;</p></content></level><wrapUp><p>and “<term refersTo="#term-greenhouse-gases" eId="term-greenhouse-gases">greenhouse gases</term>” means carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons and sulphur hexafluoride.</p></wrapUp></subsection><subsection eId="section-16-6A"><num><ins class="first" ukl:ChangeId="key-c7ea6a618a01ac1c8199a9bea3f8e8c8-1495197799252" ukl:CommentaryRef="key-c7ea6a618a01ac1c8199a9bea3f8e8c8"><noteRef uk:name="commentary" href="#key-c7ea6a618a01ac1c8199a9bea3f8e8c8" class="commentary"/>(6A)</ins></num><content><p><ins class="last" ukl:ChangeId="key-c7ea6a618a01ac1c8199a9bea3f8e8c8-1495197799252" ukl:CommentaryRef="key-c7ea6a618a01ac1c8199a9bea3f8e8c8">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.</ins></p></content></subsection><subsection eId="section-16-7"><num>(7)</num><content><p>Regulations under this section are to be made by statutory instrument.</p></content></subsection><subsection eId="section-16-8"><num>(8)</num><content><p>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.</p></content></subsection></section></hcontainer></part>

(interpretation), in the definition of “allowable loss”, after “16” insert <quotedText>“ , 16A ”</quotedText>.</mod></p></content></subsection><subsection eId="section-27-5"><num><noteRef href="#key-d2ebe238cc3dc35deef3b936ea970976" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(5)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-27-6"><num>(6)</num><content><p>The amendments made by this section have effect in relation to losses accruing on disposals made on or after 6th December 2006.</p></content></subsection></section><section eId="section-28"><num><noteRef href="#key-1c1daa7adaa2cb58b959b3a7842dff20" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>28</num><heading>Restriction on expenses of management</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section><section eId="section-29"><num>29</num><heading>Life policies <abbr title="Et cetera" xml:lang="la">etc</abbr>: effect of rebated or reinvested commission</heading><subsection eId="section-29-1"><num><noteRef href="#key-f15501bff51b02f65b49a86bc5957b80" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(1)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-29-2"><num>(2)</num><content><p><mod>In section 552 of that Act (information: duty of insurers), after subsection (12) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(13)</num><content><p>For the purposes of this section, no account is to be taken of the effect of section 548A above or section 541A of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-29-3"><num>(3)</num><content><p><mod>In <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005, after section 541 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><hcontainer name="crossheading" ukl:Name="Pblock"><heading><i>Rebated or reinvested commission</i></heading><section><num>541A</num><heading>Effect of rebated or reinvested commission in certain cases</heading><subsection><num>(1)</num><intro><p>This section applies if—</p></intro><level class="para1"><num>(a)</num><content><p>a chargeable event within section 484(1)(a)(i) to (iii), (c) or (e) occurs in respect of a policy or contract,</p></content></level><level class="para1"><num>(b)</num><content><p>commission in respect of the policy or contract has at any time been rebated or reinvested, and</p></content></level><level class="para1"><num>(c)</num><content><p>condition A or B is met.</p></content></level></subsection><subsection><num>(2)</num><content><p>For the purposes of performing the calculation in section 494 (total allowable deductions) for the chargeable event, the total amount of premiums under the policy or contract paid in the period mentioned in section 494(1) or (2)(b) is to be reduced by the total amount of commission attributable to those premiums that has been rebated or reinvested.</p></content></subsection><subsection><num>(3)</num><content><p>Condition A is that the total amount of premiums under the policy or contract paid in a relevant period exceeds £100,000.</p></content></subsection><subsection><num>(4)</num><intro><p>Condition B is that—</p></intro><level class="para1"><num>(a)</num><content><p>at a time when the policy or contract was the taxable person's, the taxable person's policies and contracts exceeded the relevant threshold as respects a relevant period, and</p></content></level><level class="para1"><num>(b)</num><content><p>premiums under the policy or contract were paid in that relevant period.</p></content></level></subsection><subsection><num>(5)</num><content><p>In subsection (4)(a) “<term refersTo="#term-taxable-person">taxable person</term>” means the person whose policy or contract the policy or contract is, immediately before the chargeable event.</p></content></subsection><subsection><num>(6)</num><content><p>For the purposes of subsection (4)(a) a person's policies and contracts “exceed the relevant threshold” as respects a relevant period if the total amount of premiums under them paid in that relevant period exceeds the sum specified in subsection (3).</p></content></subsection><subsection><num>(7)</num><intro><p>In this section “<term refersTo="#term-relevant-period">relevant period</term>” means—</p></intro><level class="para1"><num>(a)</num><content><p>the period beginning with the beginning of the tax year in which the chargeable event occurs and ending with the chargeable event, or</p></content></level><level class="para1"><num>(b)</num><content><p>any of the 3 preceding tax years.</p></content></level></subsection><subsection><num>(8)</num><intro><p>The Treasury may by order—</p></intro><level class="para1"><num>(a)</num><content><p>substitute another sum for the sum for the time being specified in subsection (3);</p></content></level><level class="para1"><num>(b)</num><content><p>amend the definition of “relevant period”.</p></content></level></subsection></section><section><num>541B</num><heading>Section 541A: further definitions</heading><subsection><num>(1)</num><content><p>This section supplements section 541A.</p></content></subsection><subsection><num>(2)</num><content><p>“<term refersTo="#term-commission">Commission</term>”, in relation to a policy or contract, includes any passing of value to or for the benefit of an intermediary, or a person connected with an intermediary, that can reasonably be taken to represent a reward in respect of the policy or contract.</p></content></subsection><subsection><num>(3)</num><content><p>Commission in respect of a policy or contract is “reinvested” if, as a result of a waiver of an entitlement to it, there is an increase in the total value of a relevant person's policies and contracts.</p></content></subsection><subsection><num>(4)</num><content><p>The amount of commission reinvested is the amount of the increase.</p></content></subsection><subsection><num>(5)</num><intro><p>Commission in respect of a policy or contract is “rebated” if—</p></intro><level class="para1"><num>(a)</num><content><p>value passes (directly or indirectly) from an intermediary, or a person connected with an intermediary, to or for the benefit of a relevant person (and the passing of value does not amount to the reinvestment of the commission), and</p></content></level><level class="para1"><num>(b)</num><content><p>the passing of value can reasonably be taken to be in respect of the commission.</p></content></level></subsection><subsection><num>(6)</num><content><p>The amount of commission rebated is the amount of value passed.</p></content></subsection><subsection><num>(7)</num><intro><p>A policy or contract is a person's policy or contract if a gain arising in connection with it would be—</p></intro><level class="para1"><num>(a)</num><content><p>a gain for which the person, or (if the person is an individual) the person's spouse or civil partner, would be liable to tax under this Chapter, or</p></content></level><level class="para1"><num>(b)</num><content><p>treated by virtue of section 547(1) of <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> as forming part of the person's income.</p></content></level></subsection><subsection><num>(8)</num><intro><p>Any necessary apportionment is to be made (on a just and reasonable basis) as regards—</p></intro><level class="para1"><num>(a)</num><content><p>commission which is attributable to two or more premiums, and</p></content></level><level class="para1"><num>(b)</num><content><p>any part of such commission that has been rebated or reinvested.</p></content></level></subsection><subsection><num>(9)</num><content><p>Commission which is in respect of one or more policies or contracts (but is not attributable to particular premiums) is to be attributed to such premiums as is just and reasonable.</p></content></subsection><subsection><num>(10)</num><intro><p>In subsections (3) and (5), “<term refersTo="#term-relevant-person">relevant person</term>” means—</p></intro><level class="para1"><num>(a)</num><content><p>any of the policyholders (including any of the persons who hold the contract),</p></content></level><level class="para1"><num>(b)</num><content><p>a person who beneficially owns the rights under the policy or contract,</p></content></level><level class="para1"><num>(c)</num><content><p>if those rights are held on trust, any of the trustees, or</p></content></level><level class="para1"><num>(d)</num><content><p>a person connected with a person within any of paragraphs (a) to (c).</p></content></level></subsection></section></hcontainer></quotedStructure></mod></p></content></subsection><subsection eId="section-29-4"><num>(4)</num><intro><p>The amendments made by this section have effect in relation to a policy or contract if—</p></intro><level class="para1" eId="section-29-4-a"><num>(a)</num><content><p>it is made on or after 21st March 2007, or</p></content></level><level class="para1" eId="section-29-4-b"><num>(b)</num><content><p>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.</p></content></level></subsection></section><section eId="section-30"><num>30</num><heading>Avoidance involving financial arrangements</heading><content><p>Schedule 5 contains provision in relation to tax avoidance involving financial arrangements.</p></content></section><section eId="section-31"><num>31</num><heading>Companies carrying on business of leasing plant or machinery</heading><content><p>Schedule 6 contains provision in relation to companies carrying on a business of leasing plant or machinery.</p></content></section><section eId="section-32"><num>32</num><heading>Restrictions on companies buying losses or gains: tax avoidance schemes</heading><subsection eId="section-32-1"><num>(1)</num><content><p><abbr class="acronym" title="Taxation of Chargeable Gains Act">TCGA</abbr> 1992 is amended as follows.</p></content></subsection><subsection eId="section-32-2"><num>(2)</num><content><p>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”.</p></content></subsection><subsection eId="section-32-3"><num>(3)</num><content><p>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”.</p></content></subsection><subsection eId="section-32-4"><num>(4)</num><content><p>Section 70 of FA 2006 (which inserted sections 184A to 184F of <abbr class="acronym" title="Taxation of Chargeable Gains Act">TCGA</abbr> 1992) is amended as follows.</p></content></subsection><subsection eId="section-32-5"><num>(5)</num><intro><p>In subsection (9) (special provision for qualifying changes of ownership and disposals before 5th December 2005)—</p></intro><level class="para1" eId="section-32-5-a"><num>(a)</num><content><p><mod>for “The following subsection applies” substitute <quotedText>“ Subsections (10) to (12) apply ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-32-5-b"><num>(b)</num><content><p>in paragraph (a), omit “or 184B”,</p></content></level><level class="para1" eId="section-32-5-c"><num>(c)</num><content><p><mod>in paragraph (c), for “at all subsequent times,” substitute <quotedText>“ immediately afterwards, ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-32-5-d"><num>(d)</num><content><p><mod>after that paragraph insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><level class="para1"><num>(ca)</num><content><p>no qualifying change of ownership occurs at any time in relation to the principal company of that group for the purposes of section 184A of <abbr class="acronym" title="Taxation of Chargeable Gains Act">TCGA</abbr> 1992 directly or indirectly in consequence of, or otherwise in connection with, any arrangements the main purpose, or one of the main purposes, of which is to secure a tax advantage falling within subsection (1)(d) of that section, and</p></content></level></quotedStructure><inline name="appendText">,</inline></mod></p></content></level><level class="para1" eId="section-32-5-e"><num>(e)</num><content><p>omit paragraph (d) (together with the “and” following it), and</p></content></level><level class="para1" eId="section-32-5-f"><num>(f)</num><content><p>in paragraph (e), omit “, or a qualifying gain for the purposes of section 184B of that Act,”.</p></content></level></subsection><subsection eId="section-32-6"><num>(6)</num><content><p><mod>For subsections (10) and (11) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(10)</num><content><p>Subsection (2) of that section has effect in relation to that qualifying loss subject to the following modifications.</p></content></subsection><subsection><num>(11)</num><content><p><mod>That subsection has effect as if there were inserted at the end of it <quotedText>“ unless the gains accrue to the company on a disposal of a pre-change asset ”</quotedText>.</mod></p></content></subsection><subsection><num>(12)</num><intro><p>That subsection (modified as mentioned above) has effect as if the reference to a pre-change asset included an asset held before the relevant time by any company—</p></intro><level class="para1"><num>(a)</num><content><p>which, immediately before that time, was a member of the same group of companies as the relevant company, and</p></content></level><level class="para1"><num>(b)</num><content><p>which, throughout the period beginning with that time and ending immediately after the making of the disposal referred to in that subsection, has remained under the control of the company which was the principal company of that group at the relevant time.</p></content></level></subsection><subsection><num>(13)</num><content><p>Expressions which are used in subsections (9) to (12) have the same meaning as in sections 184A and 184C of <abbr class="acronym" title="Taxation of Chargeable Gains Act">TCGA</abbr> 1992.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-32-7"><num>(7)</num><content><p>The amendment made by subsection (2) has effect in relation to gains accruing on disposals made on or after 21st March 2007.</p></content></subsection><subsection eId="section-32-8"><num>(8)</num><content><p>The amendment made by subsection (3) has effect in relation to losses accruing on disposals made on or after that date.</p></content></subsection><subsection eId="section-32-9"><num>(9)</num><content><p>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.</p></content></subsection></section><section eId="section-33"><num>33</num><heading>Lloyd's corporate members: restriction of group relief</heading><subsection eId="section-33-1"><num>(1)</num><content><p><mod>In FA 1994, after section 227 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>227A</num><heading>Restriction of group relief</heading><subsection><num>(1)</num><content><p>Losses of the last active underwriting year of a corporate member are not eligible for surrender by the corporate member as group relief to another company unless the group-relief continuity condition is satisfied.</p></content></subsection><subsection><num>(2)</num><intro><p>In this section “<term refersTo="#term-last-active-underwriting-year">last active underwriting year</term>”, in relation to a corporate member, means—</p></intro><level class="para1"><num>(a)</num><content><p>if the corporate member writes insurance business in only one underwriting year, that underwriting year, and</p></content></level><level class="para1"><num>(b)</num><content><p>otherwise, the last underwriting year in which the corporate member writes insurance business.</p></content></level></subsection><subsection><num>(3)</num><intro><p>Where in an underwriting year—</p></intro><level class="para1"><num>(a)</num><content><p>the corporate member writes an amount of insurance business which is insignificant when compared with that written by it in the preceding underwriting year, or</p></content></level><level class="para1"><num>(b)</num><content><p>the only insurance business written by the corporate member consists of the acceptance of reinsurance to close premiums,</p></content></level><wrapUp><p>the underwriting year is not to be regarded for the purposes of subsection (2)(b) above as an underwriting year in which the corporate member writes insurance business.</p></wrapUp></subsection><subsection><num>(4)</num><content><p>In subsection (3)(b) above “<term refersTo="#term-reinsurance-to-close-premium">reinsurance to close premium</term>” means a premium or other consideration under a contract in pursuance of which, in accordance with the rules or practice of Lloyd's, one underwriting member agrees with another to meet liabilities arising from the latter's underwriting business in an underwriting year so that the accounts of the business for that year may be closed.</p></content></subsection><subsection><num>(5)</num><intro><p>The group-relief continuity condition is satisfied if the corporate member (as the surrendering company) and the other company (as the claimant company) meet the conditions in section 402(2) or (3) of the Taxes Act 1988 throughout the period—</p></intro><level class="para1"><num>(a)</num><content><p>beginning with the last day of the last active underwriting year of the corporate member, and</p></content></level><level class="para1"><num>(b)</num><content><p>ending with the first day of the first underwriting year in which losses of the last active underwriting year are declared.</p></content></level></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-33-2"><num>(2)</num><content><p>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 <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> on or after 21st March 2007.</p></content></subsection></section><section eId="section-34"><num>34</num><heading>Employee benefit contributions</heading><subsection eId="section-34-1"><num><noteRef href="#key-73c4dfe42eb2e3564694d935b1be69d6" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(1)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-34-2"><num><noteRef href="#key-73c4dfe42eb2e3564694d935b1be69d6" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(2)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-34-3"><num><noteRef href="#key-73c4dfe42eb2e3564694d935b1be69d6" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(3)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-34-4"><num><noteRef href="#key-73c4dfe42eb2e3564694d935b1be69d6" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(4)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-34-5"><num><noteRef href="#key-73c4dfe42eb2e3564694d935b1be69d6" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(5)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-34-6"><num><noteRef href="#key-73c4dfe42eb2e3564694d935b1be69d6" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(6)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-34-7"><num>(7)</num><content><p>Part 2 of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005 (trading income) is amended as follows.</p></content></subsection><subsection eId="section-34-8"><num>(8)</num><content><p><mod>In section 38 (restriction of deductions for employee benefit contributions), for subsection (1) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(1)</num><content><p>This section applies if, in calculating for income tax purposes the profits of a trade of a person (“<term refersTo="#term-the-employer">the employer</term>”) for a period, a deduction would otherwise be allowable for the period in respect of employee benefit contributions made or to be made (but see subsection (4)).</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-34-9"><num>(9)</num><content><p><mod>In section 39 (making of “employee benefit contributions), for subsection (1) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(1)</num><intro><p>For the purposes of section 38, an “employee benefit contribution” is made if, as a result of any act or omission—</p></intro><level class="para1"><num>(a)</num><content><p>property is held, or may be used, under an employee benefit scheme, or</p></content></level><level class="para1"><num>(b)</num><content><p>there is an increase in the total value of property that is so held or may be so used (or a reduction in any liabilities under an employee benefit scheme).</p></content></level></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-34-10"><num>(10)</num><content><p><mod>In section 41 (timing and amount of certain benefits), for “the third party” (in both places) substitute <quotedText>“ a scheme manager ”</quotedText>.</mod></p></content></subsection><subsection eId="section-34-11"><num>(11)</num><intro><p>In section 42 (provision or payment out of employee benefit contributions)—</p></intro><level class="para1" eId="section-34-11-a"><num>(a)</num><content><p><mod>in subsection (1), for “the third party”, in the first place, substitute <quotedText>“ a scheme manager ”</quotedText> and, in the second place, substitute <quotedText>“ the scheme manager ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-34-11-b"><num>(b)</num><content><p><mod>in subsection (3), for “the third party”, in the first place, substitute <quotedText>“ a scheme manager ”</quotedText> and, in the second place, substitute <quotedText>“ the scheme manager ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-34-11-c"><num>(c)</num><content><p><mod>in subsection (5), for “third party” substitute <quotedText>“ scheme manager ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-34-12"><num>(12)</num><content><p><mod>In section 44(1) (interpretation), for the definition of “the third party” substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><p>“<term refersTo="#term-scheme-manager">scheme manager</term>” means a person who administers an employee benefit scheme (acting in that capacity).</p></quotedStructure></mod></p></content></subsection><subsection eId="section-34-13"><num>(13)</num><content><p>The amendments made by this section have effect in relation to employee benefit contributions made on or after 21st March 2007.</p></content></subsection></section><section eId="section-35"><num><noteRef href="#key-2c06bc0b8abaffc6255eca2eac5ee59e" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>35</num><heading>Schemes <abbr title="Et cetera" xml:lang="la">etc</abbr> designed to increase double taxation relief</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-capital-allowances"><heading><i>Capital allowances</i></heading><section eId="section-36"><num><noteRef href="#key-3eecb30281a137dfd9d70bd4c95b3799" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>36</num><heading>Industrial and agricultural buildings allowances</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section><section eId="section-37"><num><noteRef href="#key-86e7487ac346ae29f0f9a698ae14d963" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>37</num><heading>Temporary increase in first-year capital allowances for small enterprises</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-insurance-and-friendly-societies"><heading><i>Insurance and friendly societies</i></heading><section eId="section-38"><num>38</num><heading>Insurance companies: gross roll-up business <abbr title="Et cetera" xml:lang="la">etc</abbr></heading><subsection eId="section-38-1"><num>(1)</num><content><p>Part 1 of Schedule 7 contains provisions relating to gross roll-up business, capital redemption business and miscellaneous minor matters relating to insurance companies.</p></content></subsection><subsection eId="section-38-2"><num>(2)</num><intro><p>The amendments made by that Part of that Schedule have effect—</p></intro><level class="para1" eId="section-38-2-a"><num>(a)</num><content><p>for the purposes of corporation tax, for periods of account of insurance companies beginning on or after 1st January 2007, and</p></content></level><level class="para1" eId="section-38-2-b"><num>(b)</num><content><p>for the purposes of income tax, for the tax year 2007-08 and subsequent tax years.</p></content></level></subsection><subsection eId="section-38-3"><num>(3)</num><content><p>Subsection (2) is subject to the transitional provisions in Part 2 of that Schedule.</p></content></subsection></section><section eId="section-39"><num>39</num><heading>Insurance companies: basis of taxation <abbr title="Et cetera" xml:lang="la">etc</abbr></heading><subsection eId="section-39-1"><num>(1)</num><content><p>Part 1 of Schedule 8 contains provision about the basis of taxation of insurance companies and related matters.</p></content></subsection><subsection eId="section-39-2"><num>(2)</num><content><p>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.</p></content></subsection><subsection eId="section-39-3"><num>(3)</num><content><p>Subsection (2) is subject to the transitional provisions in Part 2 of that Schedule.</p></content></subsection></section><section eId="section-40"><num>40</num><heading>Insurance companies: transfers <abbr title="Et cetera" xml:lang="la">etc</abbr></heading><content><p>Schedule 9 contains provision about transfers by insurance companies and related matters.</p></content></section><section eId="section-41"><num>41</num><heading>Insurance companies: miscellaneous</heading><content><p>Schedule 10 contains miscellaneous provisions relating to insurance companies.</p></content></section><section eId="section-42"><num>42</num><heading>Technical provisions made by general insurers</heading><content><p>Schedule 11 contains provision in relation to technical provisions made by general insurers.</p></content></section><section eId="section-43"><num>43</num><heading>Lloyd's: cessation of business by corporate members</heading><subsection eId="section-43-1"><num>(1)</num><content><p><mod>In FA 1994, after section 227A (inserted by section 33) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>227B</num><heading>Transfer of underwriting business without change of ownership</heading><subsection><num>(1)</num><content><p>This section applies where, in accordance with the rules or practice of Lloyd's, a corporate member (“<term refersTo="#term-the-successor">the successor</term>”) has taken up the syndicate capacity of another corporate member (“the predecessor”).</p></content></subsection><subsection><num>(2)</num><intro><p>Section 343 of the Taxes Act 1988 (company reconstructions without a change of ownership) applies as if—</p></intro><level class="para1"><num>(a)</num><content><p>the trade mentioned in that section were the underwriting business of the predecessor,</p></content></level><level class="para1"><num>(b)</num><content><p>the predecessor ceases to carry it on, and the successor begins to carry it on, at the end of the first underwriting year in which profits or losses of the predecessor's last active underwriting year are declared, and</p></content></level><level class="para1"><num>(c)</num><content><p>subsections (8) to (10) and (12) were omitted.</p></content></level></subsection><subsection><num>(3)</num><content><p>For the purposes of subsection (1) above the successor has taken up the predecessor's syndicate capacity if it has taken up the rights to participate in syndicates which were (or otherwise would be) offered to the predecessor.</p></content></subsection><subsection><num>(4)</num><content><p>In subsection (2)(b) above “<term refersTo="#term-last-active-underwriting-year">last active underwriting year</term>” has the same meaning as in section 227A above (see subsections (2) to (4) of that section).</p></content></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-43-2"><num>(2)</num><content><p>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.</p></content></subsection></section><section eId="section-44"><num><noteRef href="#key-2456881c1d6787f0f036e6909289cba2" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>44</num><heading>Transfers of business by friendly societies to insurance companies <abbr title="Et cetera" xml:lang="la">etc</abbr></heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section><section eId="section-45"><num>45</num><heading>Tax exempt business of friendly societies</heading><subsection eId="section-45-1"><num>(1)</num><content><p>Section 462 of <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> (conditions for tax exempt business) is amended as follows.</p></content></subsection><subsection eId="section-45-2"><num>(2)</num><content><p><mod>For subsection (1) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(1)</num><intro><p>Subject to subsections (2) to (4) below, section 460 does not afford any exemption from corporation tax in relation to so much of the profits arising to a friendly society or insurance company from any business as is attributable to a policy which—</p></intro><level class="para1"><num>(a)</num><content><p>is not a qualifying policy (by virtue of sub-paragraph (2) of paragraph 6 of Schedule 15) and is not an excluded policy, and</p></content></level><level class="para1"><num>(b)</num><content><p>would not be a qualifying policy (by virtue of that sub-paragraph) if all excluded policies were left out of account.</p></content></level></subsection><subsection><num>(1A)</num><intro><p>For the purposes of subsection (1) above a policy is an excluded policy if—</p></intro><level class="para1"><num>(a)</num><content><p>it is a policy held otherwise than with the friendly society or insurance company, or</p></content></level><level class="para1"><num>(b)</num><content><p>the person who has the contract effecting the policy acquired the rights under it on an assignment (or, in Scotland, assignation) otherwise than for money or money's worth.</p></content></level></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-45-3"><num>(3)</num><content><p><mod>In subsection (2), for “under section 460(1) for profits arising from any part of a life or endowment” substitute <quotedText>“ in relation to profits arising from any part of a ”</quotedText>.</mod></p></content></subsection><subsection eId="section-45-4"><num><noteRef href="#key-cefd228ec961643da9522b693e65338e" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(4)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-45-5"><num><noteRef href="#key-e2e5bf679a5be99a907ec19a3c319ea7" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(5)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-45-6"><num>(6)</num><content><p>The amendments made by this section are deemed to have come into force on 1st January 2007.</p></content></subsection></section><section eId="section-46"><num>46</num><heading>Purchased life annuities: self-assessment</heading><subsection eId="section-46-1"><num>(1)</num><content><p>In section 437(1C) of <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> (general annuity business), omit paragraphs (c)(i) and (d)(i).</p></content></subsection><subsection eId="section-46-2"><num>(2)</num><content><p>In section 656 of that Act (purchased life annuities other than retirement annuities), omit subsections (5) and (6).</p></content></subsection><subsection eId="section-46-3"><num>(3)</num><content><p>In section 658 of that Act (supplementary), omit subsections (1) and (4) to (6).</p></content></subsection><subsection eId="section-46-4"><num>(4)</num><content><p>In section 828(4) of that Act (parliamentary procedure for orders and regulations), omit “658(3)”.</p></content></subsection><subsection eId="section-46-5"><num>(5)</num><content><p>In section 717 of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005 (exemption for part of purchased life annuity payment), omit subsection (3).</p></content></subsection><subsection eId="section-46-6"><num>(6)</num><content><p>Omit section 723 of that Act (officer of Revenue and Customs to determine certain questions).</p></content></subsection><subsection eId="section-46-7"><num>(7)</num><intro><p>In section 724 of that Act (regulations)—</p></intro><level class="para1" eId="section-46-7-a"><num>(a)</num><content><p><mod>in subsection (1)(a), for “723” substitute <quotedText>“ 722 ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-46-7-b"><num>(b)</num><content><p>omit subsection (2).</p></content></level></subsection><subsection eId="section-46-8"><num>(8)</num><content><p>In section 873(3) of that Act (parliamentary procedure for orders and regulations), omit paragraph (b).</p></content></subsection><subsection eId="section-46-9"><num>(9)</num><content><p>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.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-repos"><heading><i>Repos</i></heading><section eId="section-47"><num>47</num><heading>Sale and repurchase of securities</heading><subsection eId="section-47-1"><num>(1)</num><content><p>Schedule 13 contains provision for corporation tax purposes about the sale and repurchase of securities.</p></content></subsection><subsection eId="section-47-2"><num>(2)</num><content><p>Schedule 14 contains minor and consequential amendments in relation to the sale and repurchase of securities.</p></content></subsection><subsection eId="section-47-3"><num>(3)</num><content><p>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.</p></content></subsection><subsection eId="section-47-4"><num>(4)</num><content><p>Schedule 13, and the amendments made by Schedule 14, have effect in accordance with provision made by the Treasury by order.</p></content></subsection><subsection eId="section-47-5"><num>(5)</num><intro><p>Any order under this section—</p></intro><level class="para1" eId="section-47-5-a"><num>(a)</num><content><p>may make different provision for different purposes, and</p></content></level><level class="para1" eId="section-47-5-b"><num>(b)</num><content><p>may contain transitional provision and savings.</p></content></level></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-cfcs"><heading><i>CFCs</i></heading><section eId="section-48"><num>48</num><heading>Controlled foreign companies</heading><content><p>Schedule 15 contains provision in relation to controlled foreign companies.</p></content></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-rd"><heading><i>R&amp;D</i></heading><section eId="section-49"><num><noteRef href="#key-d4af7923893fabca44cbb1c5141992a6" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>49</num><heading>Vaccine research relief: amount of deduction for SMEs</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section><section eId="section-50"><num><noteRef href="#key-515895015cf723bc0120c7a910d22a53" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>50</num><heading>Research and development tax relief: definition of <abbr class="acronym" title="Small or Medium-sized Enterprise">SME</abbr><abbr title="Et cetera" xml:lang="la">etc</abbr></heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-venture-capital-schemes-etc"><heading><i>Venture capital schemes <abbr title="Et cetera" xml:lang="la">etc</abbr></i></heading><section eId="section-51"><num>51</num><heading>Venture capital schemes <abbr title="Et cetera" xml:lang="la">etc</abbr></heading><content><p>Schedule 16 contains provision about venture capital schemes (and provision consequential on such provision).</p></content></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-reits"><heading><i>REITs</i></heading><section eId="section-52"><num>52</num><heading>Real Estate Investment Trusts</heading><subsection eId="section-52-1"><num>(1)</num><content><p>Schedule 17 contains provisions about Real Estate Investment Trusts.</p></content></subsection><subsection eId="section-52-2"><num>(2)</num><intro><p>The amendments made by that Schedule have effect in respect of—</p></intro><level class="para1" eId="section-52-2-a"><num>(a)</num><content><p>an accounting period, of a company to which Part 4 of FA 2006 (REITs) applies, which begins on or after 1st January 2007,</p></content></level><level class="para1" eId="section-52-2-b"><num>(b)</num><content><p>an accounting period, of the principal company of a group to which that Part applies, which begins on or after 1st January 2007, and</p></content></level><level class="para1" eId="section-52-2-c"><num>(c)</num><content><p>a distribution to which section 121 of FA 2006 applies and which is received on or after 1st January 2007.</p></content></level></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-alternative-finance"><heading><i>Alternative finance</i></heading><section eId="section-53"><num>53</num><heading>Alternative finance investment bond</heading><subsection eId="section-53-1"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(1)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-2"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(2)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-3"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(3)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-4"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(4)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-5"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(5)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-6"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(6)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-7"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(7)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-8"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(8)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-9"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(9)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-10"><num><noteRef href="#key-0b794bfaa50758b988b709d2ebeb55e5" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(10)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-11"><num><noteRef href="#key-2d3a3dae72a7477a6625995de7844b70" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(11)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-12"><num><noteRef href="#key-3ce3f78e60be64bb346ebdbcd3c0d9a3" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(12)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-13"><num><noteRef href="#key-d0d4876b867e5c056dbbc4a09c753923" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(13)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-53-14"><num><noteRef href="#key-d0d4876b867e5c056dbbc4a09c753923" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(14)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection></section><section eId="section-54"><num><noteRef href="#key-dded001da239539b884f310278a3afbc" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>54</num><heading>Profit share agency</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-trusts"><heading><i>Trusts</i></heading><section eId="section-55"><num>55</num><heading>Trust income</heading><subsection eId="section-55-1"><num>(1)</num><content><p><mod>In section 686A(2)(a) of <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> (receipts to be treated as income subject to special rate of tax: payment by company), after “made” insert <quotedText>“ by way of qualifying distribution ”</quotedText>.</mod></p></content></subsection><subsection eId="section-55-2"><num>(2)</num><content><p><mod>In Type 1(b) in section 482 of ITA 2007 (types of amount to be charged at special rates for trustees), after “made” insert <quotedText>“ by way of qualifying distribution ”</quotedText>.</mod></p></content></subsection><subsection eId="section-55-3"><num>(3)</num><content><p>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.</p></content></subsection></section><section eId="section-56"><num>56</num><heading>Trust gains on contracts for life insurance</heading><subsection eId="section-56-1"><num>(1)</num><content><p>Section 498 of ITA 2007 (trustees' tax pool) is amended as follows.</p></content></subsection><subsection eId="section-56-2"><num>(2)</num><intro><p>In subsection (1)—</p></intro><level class="para1" eId="section-56-2-a"><num>(a)</num><content><p><mod>in Type 1, for “2 or 3” substitute <quotedText>“ 2, 3 or 3A ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-56-2-b"><num>(b)</num><content><p><mod>after Type 3 insert—<quotedText startQuote="&#x201C;"><i>Type 3A</i> The amount of tax at the nominal rate on any amount in respect of which— </quotedText><quotedStructure endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><level class="para1"><num>(a)</num><content><p>the trustees are liable to income tax under section 467 of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005 (gains from contracts for life insurance <abbr title="Et cetera" xml:lang="la">etc</abbr>),</p></content></level><level class="para1"><num>(b)</num><content><p>the trustees are liable to income tax at the trust rate by virtue of section 482 above, and</p></content></level><level class="para1"><num>(c)</num><content><p>tax at the savings rate is treated as having been paid by virtue of section 530 of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005 (life insurance).</p></content></level></quotedStructure></mod></p></content></level></subsection><subsection eId="section-56-3"><num>(3)</num><content><p><mod>After subsection (2) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(2A)</num><content><p>In relation to Type 3A, the reference to the nominal rate is a reference to a rate equal to the difference between the trust rate and the savings rate.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-56-4"><num>(4)</num><content><p>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.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-other-corporation-tax-measures"><heading><i>Other corporation tax measures</i></heading><section eId="section-57"><num>57</num><heading>Offshore funds</heading><subsection eId="section-57-1"><num><noteRef href="#key-617288f140dc0eb6d67a1ee7f83c6fc7" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(1)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-57-2"><num>(2)</num><content><p><mod>In section 756A of <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> (definition of “offshore fund”), for subsection (3) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(3)</num><content><p>In this section “<term refersTo="#term-collective-investment-scheme">collective investment scheme</term>” means any arrangements which are a collective investment scheme for the purposes of Part 17 of the Financial Services and Markets Act 2000 (see section 235 of that Act and orders made under subsection (5) of that section) or would be if the words “, within a period appearing to him to be reasonable,” were omitted from section 236(3)(a) of that Act.</p></content></subsection><subsection><num>(4)</num><content><p>But the reference to offshore funds in section 760(3)(a) does not include any arrangements which are not a collective investment scheme for the purposes of that Part of that Act.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-57-3"><num><noteRef href="#key-9ea5ac8241ed7456fbcca01275006c4e" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(3)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-57-4"><num>(4)</num><content><p>In Schedule 27 to <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> (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,”.</p></content></subsection><subsection eId="section-57-5"><num>(5)</num><content><p><mod>In section 152 of ITA 2007 (losses from miscellaneous transactions), in subsection (8), insert at the end <quotedText>“ except that income on which income tax is charged under section 761(1)(b)(i) of <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr> is not “<term refersTo="#term-section-1016-income" eId="term-section-1016-income">section 1016 income</term>” for the purposes of subsection (2)(a) ”</quotedText>.</mod></p></content></subsection><subsection eId="section-57-6"><num><noteRef href="#key-97bebb4fa956dccd0251495f8917350e" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(6)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-57-7"><num><noteRef href="#key-97bebb4fa956dccd0251495f8917350e" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(7)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-57-8"><num>(8)</num><content><p>The amendment made by subsection (4) has effect in relation to account periods (within the meaning of Chapter 5 of Part 17 of <abbr class="acronym" title="Income and Corporation Taxes Act">ICTA</abbr>) beginning on or after 1st January 2007.</p></content></subsection><subsection eId="section-57-9"><num>(9)</num><content><p>The amendment made by subsection (5) has effect in relation to transactions on or after 6th April 2007.</p></content></subsection></section><section eId="section-58"><num>58</num><heading>Election out of special film rules for film production companies</heading><subsection eId="section-58-1"><num><noteRef href="#key-ba37d13e9f52ad109624b1d5011f5a8f" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(1)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-58-2"><num>(2)</num><content><p><mod>In paragraph 10 of Schedule 18 to FA 1998 (other claims and elections to be included in company tax return), insert at the end—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><subparagraph><num>(5)</num><content><p>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).</p></content></subparagraph></quotedStructure></mod></p></content></subsection></section><section eId="section-59"><num>59</num><heading>Securitisation companies</heading><subsection eId="section-59-1"><num>(1)</num><content><p>Section 83 of FA 2005 (continued application of old <abbr class="acronym" title="United Kingdom">UK</abbr> <abbr class="acronym" title="Generally Accepted Accounting Principles">GAAP</abbr> to securitisation companies during transitional period) is amended as follows.</p></content></subsection><subsection eId="section-59-2"><num>(2)</num><content><p><mod>In subsection (1)(b) (old <abbr class="acronym" title="United Kingdom">UK</abbr> <abbr class="acronym" title="Generally Accepted Accounting Principles">GAAP</abbr> to apply to periods of account ending before 1st January 2008), insert at the beginning <quotedText>“ (subject to subsection (7A)(a)) ”</quotedText>.</mod></p></content></subsection><subsection eId="section-59-3"><num>(3)</num><content><p><mod>After subsection (7) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(7A)</num><intro><p>The Treasury may by regulations—</p></intro><level class="para1"><num>(a)</num><content><p>make provision for subsection (1) to apply in relation to periods of account ending on or after 1st January 2008 but before a date specified by the regulations, and</p></content></level><level class="para1"><num>(b)</num><content><p>make provision modifying any provision of, or made under, the Corporation Tax Acts in relation to the first period of account of securitisation companies in the case of which subsection (1) does not apply (whether by virtue of that subsection itself or regulations under paragraph (a)).</p></content></level></subsection><subsection><num>(7B)</num><intro><p>Regulations under subsection (7A)(a) may, in particular—</p></intro><level class="para1"><num>(a)</num><content><p>specify a date only in relation to specified descriptions of company,</p></content></level><level class="para1"><num>(b)</num><content><p>specify different dates in relation to different descriptions of company, and</p></content></level><level class="para1"><num>(c)</num><content><p>include provision for a company to elect that the regulations are to apply to it or provision for a company to elect that they are not to apply to it.</p></content></level></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-59-4"><num><noteRef href="#key-815edea985fc9d2e28cf11dac5037ad2" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(4)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-59-5"><num><noteRef href="#key-815edea985fc9d2e28cf11dac5037ad2" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(5)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-59-6"><num><noteRef href="#key-815edea985fc9d2e28cf11dac5037ad2" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(6)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-3-crossheading-other-income-tax-measures"><heading><i>Other income tax measures</i></heading><section eId="section-60"><num>60</num><heading>Gift aid: limits</heading><subsection eId="section-60-1"><num>(1)</num><intro><p>In section 418 of ITA 2007 (donations to charity by individuals: limits)—</p></intro><level class="para1" eId="section-60-1-a"><num>(a)</num><content><p><mod>in subsection (2)(c), for “2.5%” substitute <quotedText>“ 5% ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-60-1-b"><num><noteRef href="#key-37b32878621acf0fe32d1aa7432ca89a" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(b)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></level></subsection><subsection eId="section-60-2"><num><noteRef href="#key-2f57d1343a0a693c277d5d692bb69790" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(2)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-60-3"><num>(3)</num><content><p>The amendment made by subsection (1) has effect in relation to gifts made on or after 6th April 2007.</p></content></subsection><subsection eId="section-60-4"><num>(4)</num><content><p>The amendment made by subsection (2) has effect in relation to gifts made in an accounting period ending on or after 6th April 2007.</p></content></subsection></section><section eId="section-61"><num>61</num><heading>Enterprise management incentives: excluded activities</heading><subsection eId="section-61-1"><num>(1)</num><intro><p>In Part 3 of Schedule 5 to <abbr class="acronym" title="The Income Tax (Earnings and Pensions) Act">ITEPA</abbr> 2003 (enterprise management incentives: qualifying companies), in paragraph 19 (excluded activities: receipt of royalties or licence fees)—</p></intro><level class="para1" eId="section-61-1-a"><num>(a)</num><content><p><mod>in sub-paragraph (4), for paragraphs (a) and (b) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><level class="para1"><num>(a)</num><content><p>by the relevant company, or</p></content></level><level class="para1"><num>(b)</num><content><p>by a company which was a qualifying subsidiary of the relevant company throughout a period during which it created the whole or greater part (in terms of value) of the intangible asset.</p></content></level></quotedStructure><inline name="appendText">, and</inline></mod></p></content></level><level class="para1" eId="section-61-1-b"><num>(b)</num><content><p><mod>after sub-paragraph (7) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><subsection><num>(8)</num><intro><p>If—</p></intro><level class="para1"><num>(a)</num><content><p>the relevant company acquired all the shares (“old shares”) in another company (“the old company”) at a time when the only shares issued in the relevant company were subscriber shares, and</p></content></level><level class="para1"><num>(b)</num><content><p>the consideration for the old shares consisted wholly of the issue of shares in the relevant company,</p></content></level><wrapUp><p>references in sub-paragraph (4) to the relevant company include the old company.</p></wrapUp></subsection></quotedStructure></mod></p></content></level></subsection><subsection eId="section-61-2"><num>(2)</num><content><p>The amendments made by subsection (1) have effect in relation to options granted on or after 6th April 2007.</p></content></subsection><subsection eId="section-61-3"><num>(3)</num><content><p>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.</p></content></subsection><subsection eId="section-61-4"><num>(4)</num><intro><p>An option is within this subsection if it was granted before 6th April 2007 and, immediately before that date—</p></intro><level class="para1" eId="section-61-4-a"><num>(a)</num><content><p>it had not been exercised, and</p></content></level><level class="para1" eId="section-61-4-b"><num>(b)</num><content><p>no disqualifying event had occurred in relation to it.</p></content></level></subsection><subsection eId="section-61-5"><num>(5)</num><intro><p>Subsection (6) applies in respect of an option within subsection (4) if—</p></intro><level class="para1" eId="section-61-5-a"><num>(a)</num><intro><p>immediately before 6th April 2007—</p></intro><level class="para2" eId="section-61-5-a-i"><num>(i)</num><content><p>the right to exploit an intangible asset (“<term refersTo="#term-the-asset" eId="term-the-asset">the asset</term>”) was vested in the relevant company or a subsidiary of it (in either case, alone or jointly with others), and</p></content></level><level class="para2" eId="section-61-5-a-ii"><num>(ii)</num><content><p>the asset was a relevant intangible asset,</p></content></level></level><level class="para1" eId="section-61-5-b"><num>(b)</num><content><p>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</p></content></level><level class="para1" eId="section-61-5-c"><num>(c)</num><content><p>the activity would not be an excluded activity if the amendments made by subsection (1) had not been made.</p></content></level></subsection><subsection eId="section-61-6"><num>(6)</num><content><p>The activity is to be treated, in relation to the option, as not being an excluded activity at that time.</p></content></subsection></section><section eId="section-62"><num>62</num><heading>Benefits code: whether employment is “lower-paid employment”</heading><subsection eId="section-62-1"><num>(1)</num><content><p>In section 219 of <abbr class="acronym" title="The Income Tax (Earnings and Pensions) Act">ITEPA</abbr> 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).</p></content></subsection><subsection eId="section-62-2"><num>(2)</num><content><p>The repeal made by subsection (1) has effect for the tax year 2007-08 and subsequent tax years.</p></content></subsection></section><section eId="section-63"><num>63</num><heading>Armed forces redundancy schemes</heading><subsection eId="section-63-1"><num>(1)</num><content><p><mod>In section 411 of <abbr class="acronym" title="The Income Tax (Earnings and Pensions) Act">ITEPA</abbr> 2003 (exception for payments and benefits for forces), the existing provision becomes subsection (1) and after that subsection insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(2)</num><content><p>This Chapter does not apply to a payment or other benefit provided under a scheme established by an order under section 1(1) of the Armed Forces (Pensions and Compensation) Act 2004.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-63-2"><num>(2)</num><content><p>The amendments made by subsection (1) have effect for the tax year 2006-07 and subsequent tax years.</p></content></subsection></section><section eId="section-64"><num>64</num><heading>Armed forces: the Operational Allowance</heading><subsection eId="section-64-1"><num>(1)</num><content><p><mod>In <abbr class="acronym" title="The Income Tax (Earnings and Pensions) Act">ITEPA</abbr> 2003, after section 297 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>297A</num><heading>Armed forces: the Operational Allowance</heading><subsection><num>(1)</num><content><p>No liability to income tax arises in respect of payments to members of the armed forces of the Crown of the Operational Allowance.</p></content></subsection><subsection><num>(2)</num><content><p>The Operational Allowance is an allowance designated as such by the Secretary of State.</p></content></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-64-2"><num>(2)</num><content><p>The amendment made by subsection (1) has effect in relation to payments whenever made.</p></content></subsection></section><section eId="section-65"><num>65</num><heading>Service charge income</heading><subsection eId="section-65-1"><num>(1)</num><content><p>Section 480 of ITA 2007 (meaning of “accumulated or discretionary income”) is amended as follows.</p></content></subsection><subsection eId="section-65-2"><num>(2)</num><content><p><mod>In subsection (3)(c) (income from service charges held on trust by relevant housing body), for the words after “charges” substitute <quotedText>“ which are paid in respect of dwellings in the United Kingdom and are held on trust. ”</quotedText></mod></p></content></subsection><subsection eId="section-65-3"><num>(3)</num><content><p><mod>For subsections (5) and (6) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(5)</num><content><p>In subsection (3)(c) “<term refersTo="#term-service-charges">service charges</term>” has the meaning given by section 18 of the Landlord and Tenant Act 1985 (but as if that section also applied in relation to dwellings in Scotland and Northern Ireland).</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-65-4"><num>(4)</num><content><p>The amendments made by this section have effect for the tax year 2007-08 and subsequent tax years.</p></content></subsection></section><section eId="section-66"><num>66</num><heading>Charge on benefits received by former owner of property: late elections</heading><subsection eId="section-66-1"><num>(1)</num><content><p><mod>In paragraph 23 of Schedule 15 to FA 2004 (charge to income tax on benefits received by former owner of property), for sub-paragraphs (3) and (4) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><subparagraph><num>(3)</num><intro><p>The election must be made on or before—</p></intro><level class="para1"><num>(a)</num><content><p>the relevant filing date, or</p></content></level><level class="para1"><num>(b)</num><content><p>such later date as an officer of Revenue and Customs may, in a particular case, allow.</p></content></level></subparagraph></quotedStructure></mod></p></content></subsection><subsection eId="section-66-2"><num>(2)</num><content><p>The amendment made by subsection (1) is deemed to have come into force on 21st March 2007.</p></content></subsection></section><section eId="section-67"><num>67</num><heading>Unpaid remuneration and employee benefit contributions</heading><subsection eId="section-67-1"><num>(1)</num><content><p>Section 31 of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005 (relationship between rules prohibiting and allowing deductions: trading income) is amended as follows.</p></content></subsection><subsection eId="section-67-2"><num>(2)</num><content><p><mod>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 <quotedText>“ section 36 (unpaid remuneration), section 38 (employee benefit contributions), section 48 (car or motor cycle hire) and section ”</quotedText>.</mod></p></content></subsection><subsection eId="section-67-3"><num>(3)</num><content><p><mod>In subsection (3) (meaning of “relevant prohibitive rule”), after “sections” insert <quotedText>“ 36, 38, ”</quotedText>.</mod></p></content></subsection><subsection eId="section-67-4"><num>(4)</num><content><p>Section 274 of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005 (provision corresponding to section 31 of that Act in case of property income) is amended as follows.</p></content></subsection><subsection eId="section-67-5"><num>(5)</num><content><p><mod>In subsection (1)(b), for “sections 48 (car or motor cycle hire) and” substitute <quotedText>“ section 36 (unpaid remuneration), section 38 (employee benefit contributions), section 48 (car or motor cycle hire) and section ”</quotedText>.</mod></p></content></subsection><subsection eId="section-67-6"><num>(6)</num><content><p><mod>In subsection (3), after “sections” insert <quotedText>“ 36, 38, ”</quotedText>.</mod></p></content></subsection><subsection eId="section-67-7"><num>(7)</num><content><p>The amendments made by this section have effect for the tax year 2007-08 and subsequent tax years.</p></content></subsection></section></hcontainer></part>

(transfer to partnership: how to calculate the “sum of the lower proportions”)—</p></intro><level class="para1" eId="section-72-3-a"><num>(a)</num><content><p><mod>in paragraph (b), for “or is connected with the relevant owner” substitute <quotedText>“ or is an individual connected with the relevant owner ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-72-3-b"><num>(b)</num><content><p><mod>insert at the end— <quotedText>“ (If there is no relevant owner with a corresponding partner, the sum of the lower proportions is nil.) ”</quotedText></mod></p></content></level></subsection><subsection eId="section-72-4"><num>(4)</num><content><p><mod>In paragraph 12, after sub-paragraph (2) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><subsection><num>(3)</num><intro><p>For the purpose of paragraph (b) of Step 2 a company is to be treated as an individual connected with the relevant owner in so far as it—</p></intro><level class="para1"><num>(a)</num><content><p>holds property as trustee, and</p></content></level><level class="para1"><num>(b)</num><content><p>is connected with the relevant owner only because of section 839(3) of the Taxes Act 1988.</p></content></level></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-72-5"><num>(5)</num><content><p>Omit paragraph 13 (transfer to partnership where all partners are companies).</p></content></subsection><subsection eId="section-72-6"><num>(6)</num><intro><p>In paragraph 14 (transfer of interest in property-investment partnership)—</p></intro><level class="para1" eId="section-72-6-a"><num>(a)</num><content><p>omit sub-paragraphs (1)(b) and (4), and</p></content></level><level class="para1" eId="section-72-6-b"><num>(b)</num><content><p><mod>insert at the end—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><subsection><num>(9)</num><content><p>An interest in respect of the transfer of which this paragraph applies shall be treated as a chargeable interest for the purposes of paragraph 3(1) of Schedule 7 to the extent that the relevant partnership property consists of a chargeable interest.</p></content></subsection></quotedStructure><inline name="appendText">,</inline></mod></p></content></level><wrapUp><p>and in the italic cross-heading before it, omit “<i>for consideration</i>”.</p></wrapUp></subsection><subsection eId="section-72-7"><num>(7)</num><intro><p>In Step Two of paragraph 20(1) (transfer from partnership: how to calculate the “sum of the lower proportions”)—</p></intro><level class="para1" eId="section-72-7-a"><num>(a)</num><content><p><mod>in paragraph (b), for “or was connected with the relevant owner” substitute <quotedText>“ or was an individual connected with the relevant owner ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-72-7-b"><num>(b)</num><content><p><mod>insert at the end— <quotedText>“ (If there is no relevant owner with a corresponding partner, the sum of the lower proportions is nil.) ”</quotedText></mod></p></content></level></subsection><subsection eId="section-72-8"><num>(8)</num><content><p><mod>In paragraph 20, after sub-paragraph (2) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><subsection><num>(3)</num><intro><p>For the purpose of paragraph (b) of Step 2 a company is to be treated as an individual connected with the relevant owner in so far as it—</p></intro><level class="para1"><num>(a)</num><content><p>holds property as trustee, and</p></content></level><level class="para1"><num>(b)</num><content><p>is connected with the relevant owner only because of section 839(3) of the Taxes Act 1988.</p></content></level></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-72-9"><num>(9)</num><content><p><mod>After paragraph 27 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><section><num>27A</num><heading/><subsection><num>(1)</num><intro><p>This paragraph applies where in calculating the sum of the lower proportions in relation to a transaction (in accordance with paragraph 12)—</p></intro><level class="para1"><num>(a)</num><content><p>a company (“the connected company”) would have been a corresponding partner of a relevant owner (“the original owner”) but for the fact that paragraph (b) of Step Two includes connected persons only if they are individuals, and</p></content></level><level class="para1"><num>(b)</num><content><p>the connected company and the original owner are members of the same group.</p></content></level></subsection><subsection><num>(2)</num><content><p>The charge in respect of the transaction shall be reduced to the amount that would have been payable had the connected company been a corresponding partner of the original owner for the purposes of calculating the sum of the lower proportions.</p></content></subsection><subsection><num>(3)</num><intro><p>The provisions of Part 1 of Schedule 7 apply to group relief under sub-paragraph (2) above as to group relief under paragraph 1(1) of Schedule 7, but—</p></intro><level class="para1"><num>(a)</num><content><p>with the omission of paragraph 2(2)(a),</p></content></level><level class="para1"><num>(b)</num><content><p>with the substitution for “the purchaser” in paragraph 3(1)(a) of “a partner who was, at the effective date of the transaction, a partner and a member of the same group as the transferor (“the relevant partner”)”, and</p></content></level><level class="para1"><num>(c)</num><content><p>with the other modifications specified in paragraph 27(3) to (6) above.</p></content></level></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-72-10"><num>(10)</num><content><p><mod>For paragraph 36 substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><section><num>36</num><heading/><content><p>For the purposes of this Part of this Schedule, where a person acquires or increases a partnership share there is a transfer of an interest in the partnership (to that partner and from the other partners).</p></content></section></quotedStructure></mod></p></content></subsection><subsection eId="section-72-11"><num>(11)</num><content><p><mod>In paragraph 39 (“connected persons”), insert at the end—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><subsection><num>(3)</num><content><p>As applied by sub-paragraph (1) for the purposes of paragraph 12 or 20, that section has effect with the omission of subsection (3)(c) (trustee connected with settlement).</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-72-12"><num>(12)</num><intro><p>In Schedule 16 to FA 2003 (trusts and powers)—</p></intro><level class="para1" eId="section-72-12-a"><num>(a)</num><content><p><mod>in paragraph 3(1) (bare trust), after “a chargeable interest” insert <quotedText>“ or an interest in a partnership ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-72-12-b"><num>(b)</num><content><p><mod>in paragraph 4 (trustees of settlement), after “a chargeable interest” insert <quotedText>“ or an interest in a partnership ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-72-13"><num>(13)</num><content><p>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.</p></content></subsection><subsection eId="section-72-14"><num><noteRef href="#key-cc67c29904625193182a9a6e14d748b8" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(14)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></subsection><subsection eId="section-72-15"><num>(15)</num><content><p>The amendment made by subsection (12) has effect in respect of acquisitions occurring on or after the day on which this Act is passed.</p></content></subsection><subsection eId="section-72-16"><num>(16)</num><content><p>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 (<abbr class="acronym" title="Statutory Instrument">S.I.</abbr> 2006/3237).</p></content></subsection><subsection eId="section-72-17"><num>(17)</num><content><p>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 (<abbr class="acronym" title="Statutory Instrument">S.I.</abbr> 2006/3237) continue to have effect in relation to the amendments made by this section as in relation to that paragraph.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-5-crossheading-reliefs-in-relation-to-shares-etc"><heading><i>Reliefs in relation to shares <abbr title="Et cetera" xml:lang="la">etc</abbr></i></heading><section eId="section-73"><num>73</num><heading>Exemptions: intermediaries, repurchases <abbr title="Et cetera" xml:lang="la">etc</abbr></heading><content><p>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.</p></content></section><section eId="section-74"><num>74</num><heading>Acquisition relief: disregard of company holding own shares</heading><subsection eId="section-74-1"><num>(1)</num><content><p><mod>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—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(5A)</num><content><p>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 subsections (4) and (5) as having been cancelled before the acquisition (and, accordingly, the company is to be treated as if it were not a shareholder of itself).</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-74-2"><num>(2)</num><content><p><mod>In section 77 of that Act (relief on acquisition of target company's share capital), after subsection (3) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(3A)</num><content><p>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 subsection (3) as having been cancelled before the acquisition (and, accordingly, the company is to be treated as if it were not a shareholder of itself).</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-74-3"><num>(3)</num><content><p><mod>In Part 2 of Schedule 7 to FA 2003 (<abbr class="acronym" title="Stamp Duty Land Tax">SDLT</abbr>: reconstruction and acquisition reliefs), in paragraph 7 (reconstruction relief) after sub-paragraph (5) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><subparagraph><num>(5A)</num><content><p>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).</p></content></subparagraph></quotedStructure></mod></p></content></subsection><subsection eId="section-74-4"><num>(4)</num><content><p>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.</p></content></subsection><subsection eId="section-74-5"><num>(5)</num><content><p>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.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-5-crossheading-other-reliefs-etc"><heading><i>Other reliefs <abbr title="Et cetera" xml:lang="la">etc</abbr></i></heading><section eId="section-75"><num>75</num><heading><abbr class="acronym" title="Stamp Duty Land Tax">SDLT</abbr>: alternative finance arrangements</heading><subsection eId="section-75-1"><num>(1)</num><content><p><mod>In FA 2003, after section 73A insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>73B</num><heading>Exempt interests</heading><subsection><num>(1)</num><content><p>An interest held by a financial institution as a result of the first transaction within the meaning of section 71A(1)(a), 72(1)(a) or 72A(1)(a) is an exempt interest for the purposes of stamp duty land tax.</p></content></subsection><subsection><num>(2)</num><intro><p>That interest ceases to be an exempt interest if—</p></intro><level class="para1"><num>(a)</num><content><p>the lease or agreement mentioned in section 71A(1)(c), 72(1)(b) or 72A(1)(b) ceases to have effect, or</p></content></level><level class="para1"><num>(b)</num><content><p>the right under section 71A(1)(d), 72(1)(c) or 72A(1)(c) ceases to have effect or becomes subject to a restriction.</p></content></level></subsection><subsection><num>(3)</num><content><p>Subsection (1) does not apply if the first transaction is exempt from charge by virtue of Schedule 7.</p></content></subsection><subsection><num>(4)</num><intro><p>Subsection (1) does not make an interest exempt in respect of—</p></intro><level class="para1"><num>(a)</num><content><p>the first transaction itself, or</p></content></level><level class="para1"><num>(b)</num><content><p>a further transaction or third transaction within the meaning of section 71A(4), 72(4) or 72A(4).</p></content></level></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-75-2"><num>(2)</num><content><p><mod>In section 48 of that Act (stamp duty land tax: exempt interests), after subsection (3) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(3A)</num><content><p>Section 73B makes additional provision about exempt interests in relation to alternative finance arrangements.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-75-3"><num>(3)</num><content><p><mod>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 <quotedText>“ In this section “<term refersTo="#term-financial-institution" eId="term-financial-institution">financial institution</term>” has the meaning given by section 46 of the Finance Act 2005 (alternative finance arrangements). ”</quotedText></mod></p></content></subsection><subsection eId="section-75-4"><num>(4)</num><intro><p>The amendments made by this section—</p></intro><level class="para1" eId="section-75-4-a"><num>(a)</num><content><p>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</p></content></level><level class="para1" eId="section-75-4-b"><num>(b)</num><content><p>apply, in accordance with paragraph (a), to interests irrespective of the date of their creation.</p></content></level></subsection></section><section eId="section-76"><num>76</num><heading><abbr class="acronym" title="Stamp Duty Land Tax">SDLT</abbr>: exchanges</heading><subsection eId="section-76-1"><num>(1)</num><content><p><mod>In section 47(1) of FA 2003 (exchanges), insert at the end <quotedText>“ (and they are not linked transactions within the meaning of section 108) ”</quotedText>.</mod></p></content></subsection><subsection eId="section-76-2"><num>(2)</num><content><p><mod>In section 108 of that Act (linked transactions), insert at the end—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(4)</num><content><p>This section is subject to section 47(1).</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-76-3"><num>(3)</num><content><p>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.</p></content></subsection></section><section eId="section-77"><num>77</num><heading><abbr class="acronym" title="Stamp Duty Land Tax">SDLT</abbr>: shared ownership trusts</heading><subsection eId="section-77-1"><num>(1)</num><content><p><mod>In Schedule 9 to FA 2003 (right to buy and shared ownership leases), insert at the end—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><hcontainer name="crossheading" class="schGroup7"><heading><i>Shared ownership trust: introduction</i></heading><paragraph class="schProv1"><num>7</num><subparagraph><num>(1)</num><content><p>In this Schedule “<term refersTo="#term-shared-ownership-trust">shared ownership trust</term>” means a trust of land, within the meaning of section 1 of the Trusts of Land and Appointment of Trustees Act 1996, which satisfies the following conditions.</p></content></subparagraph><subparagraph><num>(2)</num><intro><p>Condition 1 is that the trust property is—</p></intro><level class="para1"><num>(a)</num><content><p>a dwelling, and</p></content></level><level class="para1"><num>(b)</num><content><p>in England or Wales.</p></content></level></subparagraph><subparagraph><num>(3)</num><content><p>Condition 2 is that one of the beneficiaries (“the social landlord”) is a qualifying body (within the meaning of paragraph 5(2)).</p></content></subparagraph><subparagraph><num>(4)</num><intro><p>Condition 3 is that the terms of the trust—</p></intro><level class="para1"><num>(a)</num><content><p>provide for one or more of the individual beneficiaries (“<term refersTo="#term-the-purchaser">the purchaser</term>”) to have exclusive use of the trust property as the only or main residence of the purchaser,</p></content></level><level class="para1"><num>(b)</num><content><p>require the purchaser to make an initial payment to the social landlord (“the initial capital”),</p></content></level><level class="para1"><num>(c)</num><content><p>require the purchaser to make additional payments to the social landlord by way of compensation under section 13(6)(a) of the Trusts of Land and Appointment of Trustees Act 1996 (“rent-equivalent payments”),</p></content></level><level class="para1"><num>(d)</num><content><p>enable the purchaser to make other additional payments to the social landlord (“equity-acquisition payments”),</p></content></level><level class="para1"><num>(e)</num><content><p>determine the initial beneficial interests of the social landlord and of the purchaser by reference to the initial capital,</p></content></level><level class="para1"><num>(f)</num><content><p>specify a sum, equating or relating to the market value of the dwelling, by reference to which the initial capital was calculated, and</p></content></level><level class="para1"><num>(g)</num><content><p>provide for the purchaser's beneficial interest in the trust property to increase, and the social landlord's to diminish (or to be extinguished), as equity-acquisition payments are made.</p></content></level></subparagraph><subparagraph><num>(5)</num><content><p>Section 118 (meaning of “market value”) does not apply to this paragraph.</p></content></subparagraph><subparagraph><num>(6)</num><intro><p>In Condition 1 “<term refersTo="#term-dwelling">dwelling</term>” includes—</p></intro><level class="para1"><num>(a)</num><content><p>a building which is being constructed or adapted for use as a dwelling,</p></content></level><level class="para1"><num>(b)</num><content><p>land which is to be used for the purpose of the construction of a dwelling, and</p></content></level><level class="para1"><num>(c)</num><content><p>land which is, or is to become, the garden or grounds of a dwelling.</p></content></level></subparagraph></paragraph></hcontainer><hcontainer name="crossheading" class="schGroup7"><heading><i>Shared ownership trust: “purchaser”</i></heading><paragraph class="schProv1"><num>8</num><content><p>For the purposes of the application of stamp duty land tax in relation to a shared ownership trust, the person (or persons) identified as the purchaser in accordance with paragraph 7, and not the social landlord or any other beneficiary, is (or are) to be treated as the purchaser of the trust property.</p></content></paragraph></hcontainer><hcontainer name="crossheading" class="schGroup7"><heading><i>Shared ownership trust: election for market value treatment</i></heading><paragraph class="schProv1"><num>9</num><subparagraph><num>(1)</num><intro><p>This paragraph applies where—</p></intro><level class="para1"><num>(a)</num><content><p>a shared ownership trust is declared, and</p></content></level><level class="para1"><num>(b)</num><content><p>the purchaser elects for tax to be charged in accordance with this paragraph.</p></content></level></subparagraph><subparagraph><num>(2)</num><intro><p>An election must be included in—</p></intro><level class="para1"><num>(a)</num><content><p>the land transaction return for the declaration of the shared ownership trust, or</p></content></level><level class="para1"><num>(b)</num><content><p>an amendment of that return.</p></content></level></subparagraph><subparagraph><num>(3)</num><content><p>An election may not be revoked.</p></content></subparagraph><subparagraph><num>(4)</num><intro><p>Where this paragraph applies—</p></intro><level class="para1"><num>(a)</num><content><p>the chargeable consideration for the declaration of the shared ownership trust shall be taken to be the amount stated in accordance with paragraph 7(4)(f), and</p></content></level><level class="para1"><num>(b)</num><content><p>no account shall be taken for the purposes of stamp duty land tax of rent-equivalent payments.</p></content></level></subparagraph><subparagraph><num>(5)</num><intro><p>The transfer to the purchaser of an interest in the trust property upon the termination of the trust is exempt from charge if—</p></intro><level class="para1"><num>(a)</num><content><p>an election was made under this paragraph, and</p></content></level><level class="para1"><num>(b)</num><content><p>any tax chargeable in respect of the declaration of the shared ownership trust has been paid.</p></content></level></subparagraph></paragraph></hcontainer><hcontainer name="crossheading" class="schGroup7"><heading><i>Shared ownership trust: treatment of staircasing transaction</i></heading><paragraph class="schProv1"><num>10</num><subparagraph><num>(1)</num><intro><p>An equity-acquisition additional payment under a shared ownership trust, and the consequent increase in the purchaser's beneficial interest, shall be exempt from charge if—</p></intro><level class="para1"><num>(a)</num><content><p>an election was made under paragraph 9, and</p></content></level><level class="para1"><num>(b)</num><content><p>any tax chargeable in respect of the declaration of trust has been paid.</p></content></level></subparagraph><subparagraph><num>(2)</num><content><p>An equity-acquisition additional payment under a shared ownership trust, and the consequent increase in the purchaser's beneficial interest, shall also be exempt from charge if following the increase the purchaser's beneficial interest does not exceed 80% of the total beneficial interest in the trust property.</p></content></subparagraph></paragraph></hcontainer><hcontainer name="crossheading" class="schGroup7"><heading><i>Shared ownership trust: treatment of additional payments where no election made</i></heading><paragraph class="schProv1"><num>11</num><intro><p>Where no election has been made under paragraph 9 in respect of a shared ownership trust—</p></intro><level class="para1"><num>(a)</num><content><p>the initial capital shall be treated for the purposes of stamp duty land tax as chargeable consideration other than rent, and</p></content></level><level class="para1"><num>(b)</num><content><p>any rent-equivalent additional payment by the purchaser shall be treated for the purposes of stamp duty land tax as a payment of rent.</p></content></level></paragraph></hcontainer></quotedStructure></mod></p></content></subsection><subsection eId="section-77-2"><num>(2)</num><content><p>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.</p></content></subsection></section><section eId="section-78"><num>78</num><heading><abbr class="acronym" title="Stamp Duty Land Tax">SDLT</abbr>: shared ownership lease</heading><content><p><mod>In paragraph 2 of Schedule 9 to FA 2003 (stamp duty land tax: shared ownership lease), after sub-paragraph (4) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><subparagraph><num>(4A)</num><content><p>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).</p></content></subparagraph></quotedStructure></mod></p></content></section><section eId="section-79"><num>79</num><heading>Certain transfers of school land</heading><subsection eId="section-79-1"><num>(1)</num><content><p>In Chapter 7 of Part 2 of the School Standards and Framework Act 1998 (c. 31) (“<term refersTo="#term-the-1998-act" eId="term-the-1998-act">the 1998 Act</term>”) (new framework for maintained schools), omit sections 79 and 79A (no stamp duty or <abbr class="acronym" title="Stamp Duty Land Tax">SDLT</abbr> payable in respect of certain transfers).</p></content></subsection><subsection eId="section-79-2"><num>(2)</num><intro><p>The repeal of—</p></intro><level class="para1" eId="section-79-2-a"><num>(a)</num><content><p>section 79A of the 1998 Act, and</p></content></level><level class="para1" eId="section-79-2-b"><num>(b)</num><content><p>section 79 of that Act as it applies for the purposes of section 79A,</p></content></level><wrapUp><p>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.</p></wrapUp></subsection><subsection eId="section-79-3"><num>(3)</num><content><p>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.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-5-crossheading-sdlt-administration"><heading><i><abbr class="acronym" title="Stamp Duty Land Tax">SDLT</abbr>: administration</i></heading><section eId="section-80"><num>80</num><heading>Payment of tax</heading><subsection eId="section-80-1"><num>(1)</num><content><p>FA 2003 is amended as follows.</p></content></subsection><subsection eId="section-80-2"><num>(2)</num><content><p>In section 76(3) (payment to accompany land transaction return), omit paragraph (b).</p></content></subsection><subsection eId="section-80-3"><num>(3)</num><content><p><mod>In section 80(2) (adjustment for change of circumstance: payment to accompany return), for paragraph (d) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><level class="para1"><num>(d)</num><content><p>the tax or additional tax payable must be paid not later than the filing date for the return.</p></content></level></quotedStructure></mod></p></content></subsection><subsection eId="section-80-4"><num>(4)</num><intro><p>In section 81 (withdrawal of relief: further return)—</p></intro><level class="para1" eId="section-80-4-a"><num>(a)</num><content><p>in subsection (2), omit paragraph (b), and</p></content></level><level class="para1" eId="section-80-4-b"><num>(b)</num><content><p><mod>after that subsection insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(2A)</num><content><p>Tax payable must be paid not later than the filing date for the return.</p></content></subsection></quotedStructure></mod></p></content></level></subsection><subsection eId="section-80-5"><num>(5)</num><content><p><mod>In section 81A(1) (later linked transaction: return), for paragraph (d) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><level class="para1"><num>(d)</num><content><p>the tax or additional tax payable must be paid not later than the filing date for the return.</p></content></level></quotedStructure></mod></p></content></subsection><subsection eId="section-80-6"><num>(6)</num><intro><p>In section 86 (payment of tax)—</p></intro><level class="para1" eId="section-80-6-a"><num>(a)</num><content><p><mod>in subsection (1), for “at the same time that a land transaction return is made in respect of the transaction.” substitute <quotedText>“ not later than the filing date for the land transaction return relating to the transaction. ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-80-6-b"><num>(b)</num><content><p><mod>in subsection (2), for “at the same time that a return is made in respect of the withdrawal” substitute <quotedText>“ not later than the filing date for the return relating to the withdrawal ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-80-7"><num>(7)</num><content><p>In paragraph 2 of Schedule 10 (payment to accompany land transaction return), omit sub-paragraph (2)(b).</p></content></subsection><subsection eId="section-80-8"><num>(8)</num><content><p><mod>For each of paragraphs 3(3)(d), 4(3)(d) and 8(3)(d) of Schedule 17A (leases) substitute—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="schedule" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="schedule" ukl:Format="default"><level class="para1"><num>(d)</num><content><p>the tax or additional tax payable must be paid not later than the filing date for the return.</p></content></level></quotedStructure></mod></p></content></subsection><subsection eId="section-80-9"><num>(9)</num><intro><p>The amendments made by this section have effect as follows—</p></intro><level class="para1" eId="section-80-9-a"><num>(a)</num><content><p>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,</p></content></level><level class="para1" eId="section-80-9-b"><num>(b)</num><content><p>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,</p></content></level><level class="para1" eId="section-80-9-c"><num>(c)</num><content><p>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,</p></content></level><level class="para1" eId="section-80-9-d"><num>(d)</num><content><p>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,</p></content></level><level class="para1" eId="section-80-9-e"><num>(e)</num><content><p>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,</p></content></level><level class="para1" eId="section-80-9-f"><num>(f)</num><content><p>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</p></content></level><level class="para1" eId="section-80-9-g"><num>(g)</num><content><p>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.</p></content></level></subsection></section><section eId="section-81"><num><noteRef href="#key-fc0363709d8ff7f3af68b43aa4f2fd71" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>81</num><heading>Self-certificate declarations</heading><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></section></hcontainer></part>

“<term refersTo="#term-group">group</term>” and “<term refersTo="#term-small-group">small group</term>” 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).</p></content></subparagraph></quotedStructure></mod></p></content></subsection><subsection eId="section-96-5"><num>(5)</num><content><p>The amendments made by subsections (1) and (2) apply to returns which relate to the tax year 2007-08 or a later tax year.</p></content></subsection><subsection eId="section-96-6"><num>(6)</num><content><p>The amendments made by subsections (3) and (4) apply to returns which relate to accounting periods ending after 31st March 2008.</p></content></subsection></section><section eId="section-97"><num>97</num><heading>Penalties for errors</heading><subsection eId="section-97-1"><num>(1)</num><intro><p>Schedule 24 contains provisions imposing penalties on taxpayers who—</p></intro><level class="para1" eId="section-97-1-a"><num>(a)</num><content><p>make errors in certain documents sent to <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr>, or</p></content></level><level class="para1" eId="section-97-1-b"><num>(b)</num><content><p>unreasonably fail to report errors in assessments by HMRC.</p></content></level></subsection><subsection eId="section-97-2"><num>(2)</num><content><p>That Schedule comes into force in accordance with provision made by the Treasury by order.</p></content></subsection><subsection eId="section-97-3"><num>(3)</num><intro><p>An order—</p></intro><level class="para1" eId="section-97-3-a"><num>(a)</num><content><p>may commence a provision generally or only for specified purposes,</p></content></level><level class="para1" eId="section-97-3-b"><num>(b)</num><content><p>may make different provision for different purposes, and</p></content></level><level class="para1" eId="section-97-3-c"><num>(c)</num><content><p>may include incidental, consequential or transitional provision.</p></content></level></subsection><subsection eId="section-97-4"><num>(4)</num><content><p>The power to make an order is exercisable by statutory instrument.</p></content></subsection></section></hcontainer></part>

(transferor's supplies treated as transferee's supplies for purposes of registration and transferor's records to be kept by transferee after transfer)—</p></intro><level class="para1" eId="section-100-2-a"><num>(a)</num><content><p><mod>after “Where a business” insert <quotedText>“ , or part of a business, ”</quotedText>,</mod></p></content></level><level class="para1" eId="section-100-2-b"><num>(b)</num><content><p><mod>after “on the business” insert <quotedText>“ or part of the business ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-100-2-c"><num>(c)</num><content><p>omit paragraph (b) (together with the “and” before it).</p></content></level></subsection><subsection eId="section-100-3"><num>(3)</num><content><p><mod>In subsection (2) (regulations for securing continuity of Act in case of transfers of going concerns), after “a business” insert <quotedText>“ , or part of a business, ”</quotedText>.</mod></p></content></subsection><subsection eId="section-100-4"><num>(4)</num><content><p><mod>After that subsection insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(2A)</num><content><p>Regulations under subsection (2) above may, in particular, provide for the duties under this Act of the transferor to preserve records relating to the business or part of the business for any period after the transfer to become duties of the transferee unless the Commissioners, at the request of the transferor, otherwise direct.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-100-5"><num>(5)</num><content><p><mod>In subsection (3) (provision which may be made by regulations), in paragraph (a), after “the transferor” insert <quotedText>“ (other than the duties mentioned in subsection (2A) above) ”</quotedText>.</mod></p></content></subsection><subsection eId="section-100-6"><num>(6)</num><content><p><mod>After that subsection insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(4)</num><intro><p>Subsection (5) below applies where—</p></intro><level class="para1"><num>(a)</num><content><p>a business, or part of a business, carried on by a taxable person is transferred to another person as a going concern, and</p></content></level><level class="para1"><num>(b)</num><content><p>the transferor continues to be required under this Act to preserve for any period after the transfer any records relating to the business or part of the business.</p></content></level></subsection><subsection><num>(5)</num><intro><p>So far as is necessary for the purpose of complying with the transferee's duties under this Act, the transferee (“E”) may require the transferor—</p></intro><level class="para1"><num>(a)</num><content><p>to give to E, within such time and in such form as E may reasonably require, such information contained in the records as E may reasonably specify,</p></content></level><level class="para1"><num>(b)</num><content><p>to give to E, within such time and in such form as E may reasonably require, such copies of documents forming part of the records as E may reasonably specify, and</p></content></level><level class="para1"><num>(c)</num><content><p>to make the records available for E's inspection at such time and place as E may reasonably require (and permit E to take copies of, or make extracts from, them).</p></content></level></subsection><subsection><num>(6)</num><content><p>Where a business, or part of a business, carried on by a taxable person is transferred to another person as a going concern, the Commissioners may disclose to the transferee any information relating to the business when it was carried on by the transferor for the purpose of enabling the transferee to comply with the transferee's duties under this Act.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-100-7"><num>(7)</num><intro><p>In section 94(6) of <abbr class="acronym" title="Value Added Tax Act">VATA</abbr> 1994 (meaning of “business” <abbr title="Et cetera" xml:lang="la">etc</abbr>)—</p></intro><level class="para1" eId="section-100-7-a"><num>(a)</num><content><p><mod>after “a business” insert <quotedText>“ , or part of a business, ”</quotedText>, and</mod></p></content></level><level class="para1" eId="section-100-7-b"><num>(b)</num><content><p><mod>for “its assets or liabilities” substitute <quotedText>“ the assets or liabilities of the business or part of the business ”</quotedText>.</mod></p></content></level></subsection><subsection eId="section-100-8"><num>(8)</num><content><p><mod>In paragraph 1(2) of Schedule 1 to that Act (registration in respect of taxable supplies), after “Where a business” insert <quotedText>“ , or part of a business, ”</quotedText>.</mod></p></content></subsection><subsection eId="section-100-9"><num>(9)</num><content><p><mod>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 <quotedText>“ , or part of a business, ”</quotedText>.</mod></p></content></subsection><subsection eId="section-100-10"><num>(10)</num><content><p>The amendments made by this section have effect in relation to transfers pursuant to contracts entered into on or after 1st September 2007.</p></content></subsection></section><section eId="section-101"><num>101</num><heading>IPT: meaning of “premium”</heading><subsection eId="section-101-1"><num>(1)</num><content><p><mod>In section 72 of FA 1994 (interpretation: “premium”), after subsection (1A) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(1B)</num><intro><p>Where—</p></intro><level class="para1"><num>(a)</num><content><p>an amount is charged (to the insured or any other person) in respect of the acquisition of a right (whether of the insured or any other person) to require the insurer to provide, or offer to provide, any of the cover included in a taxable insurance contract, and</p></content></level><level class="para1"><num>(b)</num><content><p>any payment in respect of that amount is not regarded as a payment received under that contract by the insurer by virtue of subsection (1A) above,</p></content></level><wrapUp><p>the payment is to be regarded as a payment received under that contract by the insurer unless it is chargeable to tax at the higher rate by virtue of section 52A above.</p></wrapUp></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-101-2"><num>(2)</num><content><p>The amendment made by subsection (1) has effect in relation to amounts charged on or after 22nd March 2007.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-7-crossheading-petroleum-revenue-tax"><heading><i>Petroleum revenue tax</i></heading><section eId="section-102"><num>102</num><heading>Abolition of <abbr class="acronym" title="Petroleum Revenue Tax">PRT</abbr> for fields recommissioned after earlier decommissioning</heading><subsection eId="section-102-1"><num>(1)</num><content><p>Section 185 of FA 1993 (abolition of <abbr class="acronym" title="Petroleum Revenue Tax">PRT</abbr> for oil fields with development consents on or after 16th March 1993) is amended as follows.</p></content></subsection><subsection eId="section-102-2"><num>(2)</num><content><p><mod>In subsection (1) (meaning of “<term refersTo="#term-non-taxable-field" eId="term-non-taxable-field">non-taxable field</term>” and “<term refersTo="#term-taxable-field" eId="term-taxable-field">taxable field</term>”), after paragraph (b) insert <quotedText>“ 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 ”</quotedText>.</mod></p></content></subsection><subsection eId="section-102-3"><num>(3)</num><content><p><mod>After that subsection insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(1A)</num><intro><p>An oil field meets the conditions in this subsection if—</p></intro><level class="para1"><num>(a)</num><content><p>the Secretary of State has at any time approved one or more abandonment programmes under Part 4 of the Petroleum Act 1998 (or Part 1 of the Petroleum Act 1987) in relation to all assets of the field which are relevant assets;</p></content></level><level class="para1"><num>(b)</num><content><p>those programmes have been carried out to the satisfaction of the Secretary of State;</p></content></level><level class="para1"><num>(c)</num><content><p>a development decision is made in relation to the field; and</p></content></level><level class="para1"><num>(d)</num><content><p>that decision is made on or after 16th March 1993 and after those programmes have been so carried out.</p></content></level></subsection><subsection><num>(1B)</num><intro><p>For the purposes of subsection (1A)(a) above, an asset is a relevant asset of an oil field if—</p></intro><level class="para1"><num>(a)</num><content><p>it has at any time been a qualifying asset (within the meaning of the 1983 Act) in relation to any participator in the field; and</p></content></level><level class="para1"><num>(b)</num><content><p>it has at any time been used for the purpose of winning oil from the field.</p></content></level></subsection><subsection><num>(1C)</num><intro><p>For the purposes of subsection (1A)(c) and (d) above, a development decision is made in relation to an oil field when—</p></intro><level class="para1"><num>(a)</num><content><p>consent for development is granted to a licensee by the Secretary of State in respect of the whole or part of the field; or</p></content></level><level class="para1"><num>(b)</num><content><p>a programme of development is served on a licensee or approved by the Secretary of State for the whole or part of the field.</p></content></level></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-102-4"><num>(4)</num><content><p><mod>In subsection (7) (meaning of “development” <abbr title="Et cetera" xml:lang="la">etc</abbr>), for “subsections (1) and (2)” substitute <quotedText>“ this section ”</quotedText>.</mod></p></content></subsection><subsection eId="section-102-5"><num>(5)</num><intro><p>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—</p></intro><level class="para1" eId="section-102-5-a"><num>(a)</num><content><p>in any case where the development decision is made before 1st July 2007, on that date, and</p></content></level><level class="para1" eId="section-102-5-b"><num>(b)</num><content><p>in any other case, on the date on which the development decision is made.</p></content></level></subsection></section><section eId="section-103"><num>103</num><heading>Tax-exempt tariffing receipts</heading><subsection eId="section-103-1"><num>(1)</num><content><p>Section 6A of the Oil Taxation Act 1983 (c. 56) (tax-exempt tariffing receipts) is amended as follows.</p></content></subsection><subsection eId="section-103-2"><num>(2)</num><content><p><mod>In subsection (4), insert at the end<quotedText startQuote="&#x201C;">or </quotedText><quotedStructure endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><level class="para1"><num>(c)</num><content><p>use in relation to a <abbr class="acronym" title="United Kingdom">UK</abbr> recommissioned field (see subsection (5) below) or oil won from such a field.</p></content></level></quotedStructure></mod></p></content></subsection><subsection eId="section-103-3"><num>(3)</num><content><p><mod>In subsection (5), insert at the end—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><p>“<term refersTo="#term-uk-recommissioned-field"><abbr class="acronym" title="United Kingdom">UK</abbr> recommissioned field</term>” 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).</p></quotedStructure></mod></p></content></subsection><subsection eId="section-103-4"><num>(4)</num><content><p>The amendments made by this section are deemed to have come into force on 1st July 2007.</p></content></subsection></section><section eId="section-104"><num>104</num><heading>Allowance of unrelievable loss from abandoned field</heading><subsection eId="section-104-1"><num>(1)</num><content><p><mod>In section 6 of the Oil Taxation Act 1975 (c. 22) (allowance of unrelievable loss from abandoned field), after subsection (4) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(4A)</num><content><p>For the purposes of this section and Schedule 8 to this Act, the winning of oil from an oil field shall not be regarded as having permanently ceased until all the oil wells in the field have been permanently abandoned.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-104-2"><num>(2)</num><content><p>The amendment made by subsection (1) is deemed to have come into force on 1st July 2007.</p></content></subsection></section></hcontainer><hcontainer name="crossheading" ukl:Name="Pblock" eId="part-7-crossheading-other-miscellaneous-measures"><heading><i>Other miscellaneous measures</i></heading><section eId="section-105"><num>105</num><heading>Amendments connected with Gambling Act 2005</heading><content><p>Schedule 25 contains amendments that are consequential on, or otherwise connected with, the Gambling Act 2005 (c. 19).</p></content></section><section eId="section-106"><num>106</num><heading>VED: exempt vehicles</heading><subsection eId="section-106-1"><num>(1)</num><content><p><mod>In section 5 of <abbr class="acronym" title="Vehicle Excise and Registration Act">VERA</abbr> 1994 (exempt vehicles), after subsection (2) insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(3)</num><intro><p>The Secretary of State may by order amend Schedule 2 in order to make provision about the descriptions of—</p></intro><level class="para1"><num>(a)</num><content><p>tractors, and</p></content></level><level class="para1"><num>(b)</num><content><p>vehicles used for purposes relating to agriculture, horticulture or forestry,</p></content></level><wrapUp><p>that are to be exempt vehicles.</p></wrapUp></subsection><subsection><num>(4)</num><content><p>An order under subsection (3) may in particular repeal any of paragraphs 20A to 20D of Schedule 2.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-106-2"><num>(2)</num><content><p><mod>In section 60(3) of that Act (orders subject to affirmative procedure), after “under” insert <quotedText>“ section 5(3) or ”</quotedText>.</mod></p></content></subsection></section><section eId="section-107"><num>107</num><heading>Limitation period in old actions for mistake of law relating to direct tax</heading><subsection eId="section-107-1"><num>(1)</num><content><p>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.</p></content></subsection><subsection eId="section-107-2"><num>(2)</num><content><p>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.</p></content></subsection><subsection eId="section-107-3"><num>(3)</num><intro><p>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—</p></intro><level class="para1" eId="section-107-3-a"><num>(a)</num><content><p>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</p></content></level><level class="para1" eId="section-107-3-b"><num>(b)</num><content><p>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.</p></content></level></subsection><subsection eId="section-107-4"><num>(4)</num><content><p>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).</p></content></subsection><subsection eId="section-107-5"><num>(5)</num><content><p>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).</p></content></subsection><subsection eId="section-107-5A"><num><ins class="first" ukl:ChangeId="key-cd5b04cc58ffe07c72dce9f72e07c5b6-1530860625963" ukl:CommentaryRef="key-cd5b04cc58ffe07c72dce9f72e07c5b6"><noteRef uk:name="commentary" href="#key-cd5b04cc58ffe07c72dce9f72e07c5b6" class="commentary"/>(5A)</ins></num><content><p><ins ukl:ChangeId="key-cd5b04cc58ffe07c72dce9f72e07c5b6-1530860625963" ukl:CommentaryRef="key-cd5b04cc58ffe07c72dce9f72e07c5b6">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 </ins><abbr class="acronym" title="European Union"><ins ukl:ChangeId="key-cd5b04cc58ffe07c72dce9f72e07c5b6-1530860625963" ukl:CommentaryRef="key-cd5b04cc58ffe07c72dce9f72e07c5b6">EU</ins></abbr><ins class="last" ukl:ChangeId="key-cd5b04cc58ffe07c72dce9f72e07c5b6-1530860625963" ukl:CommentaryRef="key-cd5b04cc58ffe07c72dce9f72e07c5b6"> law.</ins></p></content></subsection><subsection eId="section-107-6"><num>(6)</num><intro><p>In this section—</p></intro><hcontainer name="definition"><content><p>“<term refersTo="#term-group-litigation-order" eId="term-group-litigation-order">group litigation order</term>” means an order of a court providing for the case management of actions which give rise to common or related issues of fact or law, and</p></content></hcontainer><hcontainer name="definition"><content><p>“<term refersTo="#term-judgment" eId="term-judgment">judgment</term>” includes order (and “<term refersTo="#term-given" eId="term-given">given</term>” includes made).</p></content></hcontainer></subsection></section><section eId="section-108"><num>108</num><heading>Disclosure of tax avoidance schemes</heading><subsection eId="section-108-1"><num>(1)</num><content><p>Part 7 of FA 2004 (disclosure of tax avoidance schemes) is amended as follows.</p></content></subsection><subsection eId="section-108-2"><num>(2)</num><content><p><mod>After section 306 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>306A</num><heading>Doubt as to notifiability</heading><subsection><num>(1)</num><intro><p><abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> may apply to the Special Commissioners for an order that—</p></intro><level class="para1"><num>(a)</num><content><p>a proposal is to be treated as notifiable, or</p></content></level><level class="para1"><num>(b)</num><content><p>arrangements are to be treated as notifiable.</p></content></level></subsection><subsection><num>(2)</num><intro><p>An application must specify—</p></intro><level class="para1"><num>(a)</num><content><p>the proposal or arrangements in respect of which the order is sought, and</p></content></level><level class="para1"><num>(b)</num><content><p>the promoter.</p></content></level></subsection><subsection><num>(3)</num><intro><p>On an application the Special Commissioners may make the order only if satisfied that <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr>—</p></intro><level class="para1"><num>(a)</num><content><p>have taken all reasonable steps to establish whether the proposal or arrangements are notifiable, and</p></content></level><level class="para1"><num>(b)</num><content><p>have reasonable grounds for suspecting that the proposal or arrangements may be notifiable.</p></content></level></subsection><subsection><num>(4)</num><content><p>Reasonable steps under subsection (3)(a) may (but need not) include taking action under section 313A or 313B.</p></content></subsection><subsection><num>(5)</num><intro><p>Grounds for suspicion under subsection (3)(b) may include—</p></intro><level class="para1"><num>(a)</num><content><p>the fact that the relevant arrangements fall within a description prescribed under section 306(1)(a);</p></content></level><level class="para1"><num>(b)</num><content><p>an attempt by the promoter to avoid or delay providing information or documents about the proposal or arrangements under or by virtue of section 313A or 313B;</p></content></level><level class="para1"><num>(c)</num><content><p>the promoter's failure to comply with a requirement under or by virtue of section 313A or 313B in relation to another proposal or other arrangements.</p></content></level></subsection><subsection><num>(6)</num><intro><p>Where an order is made under this section in respect of a proposal or arrangements, the prescribed period for the purposes of section 308(1) or (3) in so far as it applies by virtue of the order—</p></intro><level class="para1"><num>(a)</num><content><p>shall begin after a date prescribed for the purpose, and</p></content></level><level class="para1"><num>(b)</num><content><p>may be of a different length than the prescribed period for the purpose of other applications of section 308(1) or (3).</p></content></level></subsection><subsection><num>(7)</num><content><p>An order under this section in relation to a proposal or arrangements is without prejudice to the possible application of section 308, other than by virtue of this section, to the proposal or arrangements.</p></content></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-108-3"><num>(3)</num><content><p><mod>In section 307 (“promoter”), insert at the end—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(6)</num><content><p>In the application of this Part to a proposal or arrangements which are not notifiable, a reference to a promoter is a reference to a person who would be a promoter under subsections (1) to (5) if the proposal or arrangements were notifiable.</p></content></subsection></quotedStructure></mod></p></content></subsection><subsection eId="section-108-4"><num>(4)</num><content><p><mod>After section 308 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>308A</num><heading>Supplemental information</heading><subsection><num>(1)</num><intro><p>This section applies where—</p></intro><level class="para1"><num>(a)</num><content><p>a promoter (P) has provided information in purported compliance with section 308(1) or (3), but</p></content></level><level class="para1"><num>(b)</num><content><p><abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> believe that P has not provided all the prescribed information.</p></content></level></subsection><subsection><num>(2)</num><content><p><abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> may apply to the Special Commissioners for an order requiring P to provide specified information about, or documents relating to, the notifiable proposal or arrangements.</p></content></subsection><subsection><num>(3)</num><intro><p>The Special Commissioners may make an order under subsection (2) in respect of information or documents only if satisfied that <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> have reasonable grounds for suspecting that the information or documents—</p></intro><level class="para1"><num>(a)</num><content><p>form part of the prescribed information, or</p></content></level><level class="para1"><num>(b)</num><content><p>will support or explain the prescribed information.</p></content></level></subsection><subsection><num>(4)</num><content><p>A requirement by virtue of subsection (2) shall be treated as part of P's duty under section 308(1) or (3).</p></content></subsection><subsection><num>(5)</num><content><p>In so far as P's duty under section 308(1) or (3) arises out of a requirement by virtue of subsection (2) above, the prescribed period shall begin after a date prescribed for the purpose.</p></content></subsection><subsection><num>(6)</num><intro><p>In so far as P's duty under section 308(1) or (3) arises out of a requirement by virtue of subsection (2) above, the prescribed period—</p></intro><level class="para1"><num>(a)</num><content><p>may be of a different length than the prescribed period for the purpose of other applications of section 308(1) or (3), and</p></content></level><level class="para1"><num>(b)</num><content><p>may be extended by <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> by direction.</p></content></level></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-108-5"><num>(5)</num><content><p><mod>After section 313 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>313A</num><heading>Pre-disclosure enquiry</heading><subsection><num>(1)</num><intro><p>Where <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> suspect that a person (P) is the promoter of a proposal or arrangements which may be notifiable, they may by written notice require P to state—</p></intro><level class="para1"><num>(a)</num><content><p>whether in P's opinion the proposal or arrangements are notifiable by P, and</p></content></level><level class="para1"><num>(b)</num><content><p>if not, the reasons for P's opinion.</p></content></level></subsection><subsection><num>(2)</num><content><p>A notice must specify the proposal or arrangements to which it relates.</p></content></subsection><subsection><num>(3)</num><intro><p>For the purpose of subsection (1)(b)—</p></intro><level class="para1"><num>(a)</num><content><p>it is not sufficient to refer to the fact that a lawyer or other professional has given an opinion,</p></content></level><level class="para1"><num>(b)</num><content><p>the reasons must show, by reference to this Part and regulations under it, why P thinks the proposal or arrangements are not notifiable by P, and</p></content></level><level class="para1"><num>(c)</num><content><p>in particular, if P asserts that the arrangements do not fall within any description prescribed under section 306(1)(a), the reasons must provide sufficient information to enable <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> to confirm the assertion.</p></content></level></subsection><subsection><num>(4)</num><intro><p>P must comply with a requirement under or by virtue of subsection (1) within—</p></intro><level class="para1"><num>(a)</num><content><p>the prescribed period, or</p></content></level><level class="para1"><num>(b)</num><content><p>such longer period as <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> may direct.</p></content></level></subsection></section><section><num>313B</num><heading>Reasons for non-disclosure: supporting information</heading><subsection><num>(1)</num><content><p>Where <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> receive from a person (P) a statement of reasons why a proposal or arrangements are not notifiable by P, <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> may apply to the Special Commissioners for an order requiring P to provide specified information or documents in support of the reasons.</p></content></subsection><subsection><num>(2)</num><intro><p>P must comply with a requirement under or by virtue of subsection (1) within—</p></intro><level class="para1"><num>(a)</num><content><p>the prescribed period, or</p></content></level><level class="para1"><num>(b)</num><content><p>such longer period as <abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> may direct.</p></content></level></subsection><subsection><num>(3)</num><intro><p>The power under subsection (1)—</p></intro><level class="para1"><num>(a)</num><content><p>may be exercised more than once, and</p></content></level><level class="para1"><num>(b)</num><content><p>applies whether or not the statement of reasons was received under section 313A(1)(b).</p></content></level></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-108-6"><num>(6)</num><content><p><mod>After section 314 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>314A</num><heading>Order to disclose</heading><subsection><num>(1)</num><intro><p><abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr> may apply to the Special Commissioners for an order that—</p></intro><level class="para1"><num>(a)</num><content><p>a proposal is notifiable, or</p></content></level><level class="para1"><num>(b)</num><content><p>arrangements are notifiable.</p></content></level></subsection><subsection><num>(2)</num><intro><p>An application must specify—</p></intro><level class="para1"><num>(a)</num><content><p>the proposal or arrangements in respect of which the order is sought, and</p></content></level><level class="para1"><num>(b)</num><content><p>the promoter.</p></content></level></subsection><subsection><num>(3)</num><content><p>On an application the Special Commissioners may make the order only if satisfied that section 306(1)(a) to (c) applies to the relevant arrangements.</p></content></subsection></section></quotedStructure></mod></p></content></subsection><subsection eId="section-108-7"><num>(7)</num><content><p><mod>After section 317 insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><section><num>317A</num><heading>Special Commissioners: procedure</heading><content><p>Sections 56B to 56D of the Taxes Management Act 1970 (procedure) shall apply (with any necessary modifications) to applications under this Part as to appeals.</p></content></section></quotedStructure></mod></p></content></subsection><subsection eId="section-108-8"><num>(8)</num><intro><p>In section 318(1) (interpretation)—</p></intro><level class="para1" eId="section-108-8-a"><num>(a)</num><content><p><mod>after the definition of “corporation tax” insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><p>“<term refersTo="#term-hmrc"><abbr class="acronym" title="Her Majesty's Revenue and Customs">HMRC</abbr></term>” means the Commissioners for Her Majesty's Revenue and Customs;</p></quotedStructure><inline name="appendText"> and</inline></mod></p></content></level><level class="para1" eId="section-108-8-b"><num>(b)</num><content><p><mod>after the definition of “reference number” insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="unknown" uk:docName="unknown" ukl:TargetClass="unknown" ukl:TargetSubClass="unknown" ukl:Context="unknown" ukl:Format="default"><p>“<term refersTo="#term-the-special-commissioners">the Special Commissioners</term>” has the meaning given by section 4 of the Taxes Management Act 1970;</p></quotedStructure><inline name="appendText">.</inline></mod></p></content></level></subsection><subsection eId="section-108-9"><num>(9)</num><intro><p>In section 98C of <abbr class="acronym" title="Taxes Management Act">TMA</abbr> 1970 (notifications under Part 7 of FA 2004)—</p></intro><level class="para1" eId="section-108-9-a"><num>(a)</num><content><p><mod>in subsection (2), at the end insert—<quotedText startQuote="&#x201C;">, and </quotedText><quotedStructure endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><level class="para1"><num>(e)</num><content><p>sections 313A and 313B (duty of promoter to respond to inquiry).</p></content></level></quotedStructure><inline name="appendText">, and</inline></mod></p></content></level><level class="para1" eId="section-108-9-b"><num>(b)</num><content><p><mod>after that subsection insert—<quotedStructure startQuote="&#x201C;" endQuote="&#x201D;" uk:context="body" uk:docName="ukpga" ukl:TargetClass="primary" ukl:TargetSubClass="unknown" ukl:Context="main" ukl:Format="default"><subsection><num>(2A)</num><content><p>Where a failure to comply with a provision mentioned in subsection (2) concerns a proposal or arrangements in respect of which an order has been made under section 306A of the Finance Act 2004 (doubt as to notifiability), the amount specified in subsection (1)(b) above shall be increased to the prescribed sum.</p></content></subsection><subsection><num>(2B)</num><content><p>Where a failure to comply with a provision mentioned in subsection (2) concerns a proposal or arrangements in respect of which an order has been made under section 314A of the Finance Act 2004 (order to disclose), the amount specified in subsection (1)(b) above shall be increased to the prescribed sum in relation to days falling after the prescribed period.</p></content></subsection><subsection><num>(2C)</num><intro><p>In subsection (2A) and (2B)—</p></intro><level class="para1"><num>(a)</num><content><p>“<term refersTo="#term-the-prescribed-sum">the prescribed sum</term>” means a sum prescribed by the Treasury by regulations, and</p></content></level><level class="para1"><num>(b)</num><content><p>“<term refersTo="#term-the-prescribed-period">the prescribed period</term>” means a period beginning with the date of the order under section 314A and prescribed by the Commissioners by regulations.</p></content></level></subsection><subsection><num>(2D)</num><content><p>The making of an order under section 314A of that Act does not of itself mean that, for the purposes of section 118(2) of this Act, a person either did or did not have a reasonable excuse for non-compliance before the order was made.</p></content></subsection><subsection><num>(2E)</num><intro><p>Where an order is made under section 314A of that Act then for the purposes of section 118(2) of this Act—</p></intro><level class="para1"><num>(a)</num><content><p>the person identified in the order as the promoter of the proposal or arrangements cannot, in respect of any time after the end of the period mentioned in subsection (2B), rely on doubt as to notifiability as an excuse for failure to comply with section 308 of that Act, and</p></content></level><level class="para1"><num>(b)</num><content><p>any delay in compliance with that section after the end of that period is unreasonable unless attributable to something other than doubt as to notifiability.</p></content></level></subsection><subsection><num>(2F)</num><intro><p>Regulations under subsection (2C)—</p></intro><level class="para1"><num>(a)</num><content><p>may include incidental or transitional provision,</p></content></level><level class="para1"><num>(b)</num><content><p>shall be made by statutory instrument,</p></content></level><level class="para1"><num>(c)</num><content><p>in the case of regulations under subsection (2C)(a), shall not be made unless a draft has been laid before and approved by resolution of the House of Commons, and</p></content></level><level class="para1"><num>(d)</num><content><p>in the case of regulations under subsection (2C)(b), shall be subject to annulment in pursuance of a resolution of the House of Commons.</p></content></level></subsection></quotedStructure></mod></p></content></level></subsection><subsection eId="section-108-10"><num>(10)</num><intro><p>The amendments made by this section come into force on the passing of this Act; and—</p></intro><level class="para1" eId="section-108-10-a"><num><noteRef href="#key-970d40e122a2ba4f00b5a95f6566ba3d" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>(a)</num><content><p>. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .</p></content></level><level class="para1" eId="section-108-10-b"><num>(b)</num><content><p>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.</p></content></level></subsection></section><section eId="section-109"><num>109</num><heading>Meaning of “recognised stock exchange” <abbr title="Et cetera" xml:lang="la">etc</abbr></heading><intro><p>Schedule 26 contains—</p></intro><level class="para1" eId="section-109-a"><num>(a)</num><content><p>new definitions of “<term refersTo="#term-recognised-stock-exchange" eId="term-recognised-stock-exchange">recognised stock exchange</term>” for the purposes of the Tax Acts and <abbr class="acronym" title="Taxation of Chargeable Gains Act">TCGA</abbr> 1992,</p></content></level><level class="para1" eId="section-109-b"><num>(b)</num><content><p>provision for the valuation for the purposes of <abbr class="acronym" title="Taxation of Chargeable Gains Act">TCGA</abbr> 1992 of certain shares or securities listed on recognised stock exchanges,</p></content></level><level class="para1" eId="section-109-c"><num>(c)</num><content><p>provision for the valuation for the purposes of Chapter 8 of Part 4 of <abbr class="acronym" title="Income Tax (Trading and Other Income) Act">ITTOIA</abbr> 2005 of strips and securities exchanged for strips, and</p></content></level><level class="para1" eId="section-109-d"><num>(d)</num><content><p>minor and consequential amendments in relation to stock exchanges.</p></content></level></section><section eId="section-110"><num>110</num><heading>Mergers Directive: regulations</heading><subsection eId="section-110-1"><num>(1)</num><intro><p>The Treasury may by regulations make provision about—</p></intro><level class="para1" eId="section-110-1-a"><num>(a)</num><content><p>the tax consequences of a merger to form an SE or SCE,</p></content></level><level class="para1" eId="section-110-1-b"><num>(b)</num><intro><p>the tax consequences of a merger where—</p></intro><level class="para2" eId="section-110-1-b-i"><num>(i)</num><content><p>each party to the merger is resident in a member State, and</p></content></level><level class="para2" eId="section-110-1-b-ii"><num>(ii)</num><content><p>the parties are not all resident in the same member State,</p></content></level></level><level class="para1" eId="section-110-1-c"><num>(c)</num><intro><p>the tax consequences of a transfer between companies of a business or part of a business, where—</p></intro><level class="para2" eId="section-110-1-c-i"><num>(i)</num><content><p>each party to the transfer is resident in a member State, and</p></content></level><level class="para2" eId="section-110-1-c-ii"><num>(ii)</num><content><p>the parties are not all resident in the same member State,</p></content></level></level><level class="para1" eId="section-110-1-d"><num>(d)</num><content><p>the tax consequences of a share exchange to which section 135 of <abbr class="acronym" title="Taxation of Chargeable Gains Act">TCGA</abbr> 1992 (exchange of securities) applies where companies A and B are resident in different member States,</p></content></level><level class="para1" eId="section-110-1-e"><num>(e)</num><content><p>the residence of an SE or SCE.</p></content></level></subsection><subsection eId="section-110-2"><num>(2)</num><intro><p>Regulations may, in particular, make provision—</p></intro><level class="para1" eId="section-110-2-a"><num>(a)</num><content><p>about the taxation of chargeable gains (including conferring relief from taxation in relation to transfers or mergers which satisfy specified conditions),</p></content></level><level class="para1" eId="section-110-2-b"><num>(b)</num><content><p>conferring relief from taxation on a distribution of a company which satisfies specified conditions,</p></content></level><level class="para1" eId="section-110-2-c"><num>(c)</num><content><p>about the treatment of securities issued on a transfer or merger,</p></content></level><level class="para1" eId="section-110-2-d"><num>(d)</num><content><p>about the treatment of loan relationships,</p></content></level><level class="para1" eId="section-110-2-e"><num>(e)</num><content><p>about the treatment of derivative contracts,</p></content></level><level class="para1" eId="section-110-2-f"><num>(f)</num><content><p>about the treatment of intangible fixed assets, and</p></content></level><level class="para1" eId="section-110-2-g"><num>(g)</num><content><p>about capital allowances.</p></content></level></subsection><subsection eId="section-110-3"><num>(3)</num><content><p>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.</p></content></subsection><subsection eId="section-110-4"><num>(4)</num><intro><p>In this section—</p></intro><hcontainer name="definition"><content><p>“<term refersTo="#term-the-mergers-directive" eId="term-the-mergers-directive">the Mergers Directive</term>” means Council Directive <ref eId="c00002" href="http://www.legislation.gov.uk/european/directive/2009/0133"><ins class="substitution first last" ukl:ChangeId="key-9ba22717d13ca181c0f2e3f687cab74e-1519293894711" ukl:CommentaryRef="key-9ba22717d13ca181c0f2e3f687cab74e"><noteRef uk:name="commentary" href="#key-9ba22717d13ca181c0f2e3f687cab74e" class="commentary"/>2009/133/EC</ins></ref>,</p></content></hcontainer><hcontainer name="definition"><content><p>“<term refersTo="#term-sce" eId="term-sce">SCE</term>” means an SCE formed in accordance with Council Regulation <ref eId="c00002n1" href="http://www.legislation.gov.uk/european/regulation/2003/1435">(<abbr class="acronym" title="European Community">EC</abbr>) 1435/2003</ref> on the Statute for a European Cooperative Society, and</p></content></hcontainer><hcontainer name="definition"><content><p>“<term refersTo="#term-se" eId="term-se">SE</term>” means an SE formed in accordance with Council Regulation <ref eId="c00003" href="http://www.legislation.gov.uk/european/regulation/2001/2157">(<abbr class="acronym" title="European Community">EC</abbr>) 2157/2001</ref> on the Statute for a European Company.</p></content></hcontainer></subsection><subsection eId="section-110-5"><num>(5)</num><intro><p>Regulations under this section may—</p></intro><level class="para1" eId="section-110-5-a"><num>(a)</num><content><p>amend the Taxes Acts,</p></content></level><level class="para1" eId="section-110-5-b"><num>(b)</num><content><p>make incidental or consequential amendments of enactments other than the Taxes Acts,</p></content></level><level class="para1" eId="section-110-5-c"><num>(c)</num><content><p>make provision having retrospective effect,</p></content></level><level class="para1" eId="section-110-5-d"><num>(d)</num><content><p>make provision generally or only for specified cases or circumstances,</p></content></level><level class="para1" eId="section-110-5-e"><num>(e)</num><content><p>make different provision for different cases or circumstances,</p></content></level><level class="para1" eId="section-110-5-f"><num>(f)</num><content><p>make incidental, consequential or transitional provision.</p></content></level></subsection><subsection eId="section-110-6"><num>(6)</num><content><p>In this section “<term refersTo="#term-the-taxes-acts" eId="term-the-taxes-acts">the Taxes Acts</term>” has the meaning given by section 118(1) of <abbr class="acronym" title="Taxes Management Act">TMA</abbr> 1970.</p></content></subsection></section><section eId="section-111"><num>111</num><heading>Excise duties: small consignment relief</heading><subsection eId="section-111-1"><num>(1)</num><content><p>The Excise Duties (Small Non-Commercial Consignments) Relief Regulations 1986 (<abbr class="acronym" title="Statutory Instrument">S.I.</abbr> 1986/938) are revoked.</p></content></subsection><subsection eId="section-111-2"><num>(2)</num><content><p>The revocation made by subsection (1) does not apply in relation to goods consigned before the day on which this Act is passed.</p></content></subsection></section><section eId="section-112"><num>112</num><heading>Updating references to Standing Committees</heading><subsection eId="section-112-1"><num>(1)</num><content><p><mod>In section 1(4)(b) of the Provisional Collection of Taxes Act 1968 (c. 2) (circumstances in which a resolution affecting income tax <abbr title="Et cetera" xml:lang="la">etc</abbr> ceases to have effect), for “Standing Committee” substitute <quotedText>“ Public Bill Committee ”</quotedText>.</mod></p></content></subsection><subsection eId="section-112-2"><num>(2)</num><content><p><mod>In section 50(2)(a) of FA 1973 (corresponding provision for stamp duty), for “Standing Committee” substitute <quotedText>“ Public Bill Committee ”</quotedText>.</mod></p></content></subsection></section></hcontainer></part>