Most Gracious Sovereign, We, Your Majesty’s most dutiful and loyal subjects, the Commons of the United Kingdom in Parliament assembled, towards raising the necessary supplies to defray Your Majesty’s public expenses, and making an addition to the public revenue, have freely and voluntarily resolved to give and grant unto Your Majesty the several duties hereinafter mentioned; and do therefore most humbly beseech Your Majesty that it may be enacted, and be it enacted by the Queen’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
Most Gracious Sovereign, We, Your Majesty’s most dutiful and loyal subjects, the Commons of the United Kingdom in Parliament assembled, towards raising the necessary supplies to defray Your Majesty’s public expenses, and making an addition to the public revenue, have freely and voluntarily resolved to give and grant unto Your Majesty the several duties hereinafter mentioned; and do therefore most humbly beseech Your Majesty that it may be enacted, and be it enacted by the Queen’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
CUSTOMS AND EXCISE, VALUE ADDED TAX AND CAR TAX
Rates of duty
In section 5 of the Alcoholic Liquor Duties Act 1979 (spirits) for “£17.35” there shall be substituted “ £18.96 ”.
In section 36 of that Act (beer) for “£0.97” there shall be substituted “ £1.06 ”.
For the Table of rates of duty in Schedule 1 to that Act (wine and made-wine) there shall be substituted the Table in Schedule 1 to this Act.
In section 62(1) of that Act (cider) for “£18.66” there shall be substituted “ £20.40 ”.
This section shall be deemed to have come into force at 6 o’clock in the evening of 19th March 1991.
For the Table in Schedule 1 to the Tobacco Products Duty Act 1979 there shall be substituted—
This section shall be deemed to have come into force at 6 o’clock in the evening of 19th March 1991.
In section 6(1) of the Hydrocarbon Oil Duties Act 1979, for “£0.2248” (duty on light oil) and “£0.1902” (duty on heavy oil) there shall be substituted “ £0.2585 ” and “ £0.2187 ” respectively.
In section 11(1) of that Act, for “£0.0083” (rebate on fuel oil) and “£0.0118” (rebate on gas oil) there shall be substituted “ £0.0091 ” and “ £0.0129 ” respectively.
In section 13A(1) of that Act (rebate on unleaded petrol) for “£0.0299” there shall be substituted “ £0.0344 ”.
In section 14(1) of that Act (rebate on light oil for use as furnace fuel) for “£0.0083” there shall be substituted “ £0.0091 ”.
This section shall be deemed to have come into force at 6 o’clock in the evening of 19th March 1991.
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In section 7(1) of the Betting and Gaming Duties Act 1981 (which specifies 40 per cent. as the rate of pool betting duty) for “40 per cent.” there shall be substituted “ 37.50 per cent. ”
This section shall apply in relation to bets made at any time by reference to an event taking place on or after 17th August 1991.
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Duties of excise: other provisions
For section 36 of the Alcoholic Liquor Duties Act 1979 (charge on beer imported into, or brewed in, the United Kingdom of an excise duty at a rate per hectolitre for every degree by which the original gravity of the beer exceeds 1000 degrees) there shall be substituted—
After section 41 of that Act (which specifies certain reliefs from duty) there shall be inserted—
The enactments and instruments mentioned in Schedule 2 to this Act shall have effect with the amendments specified in that Schedule.
This section shall come into force on such day as the Commissioners may by order made by statutory instrument appoint, and different days may be so appointed for different provisions or for different purposes.
An order under subsection (5) above may contain such saving or transitional provision as the Commissioners think fit; and, without prejudice to the generality of the foregoing, any such order may include provision—
for treating beer—as beer produced on or after that day and chargeable accordingly, and
produced, or in the process of being produced, before the relevant day, and
held on, or in the process of being transported between, registered premises on that day,
for the remission or repayment of any duty charged or paid in respect thereof under provisions replaced by this section and Schedule 2 to this Act.
In this section—“the Commissioners means the Commissioners of Customs and Excise;“registered premises means—“the relevant day means the day appointed for the coming into force of subsection (1) of the section 36 substituted by subsection (1) above.
premises which, on the relevant day, are registered under section 41A of the Alcoholic Liquor Duties Act 1979, or
premises in respect of which, on that day, a person is registered under section 47 of that Act;
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Management
In section 1 of the Customs and Excise Management Act 1979 (interpretation) in subsection (1), after the definition of “Queen’s warehouse” there shall be inserted—.
In the definition of “revenue trader” in that subsection, in paragraph (a) (person carrying on a trade or business subject to any of the revenue trade provisions of the customs and excise Acts) after the words “customs and excise Acts” there shall be inserted the words.
Schedule 4 to this Act shall have effect.
Schedule 5 to this Act (which makes provision for the purpose of protecting the revenues derived from duties of excise) shall have effect.
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INCOME TAX, CORPORATION TAX AND CAPITAL GAINS TAX
Income tax rates and allowances
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Corporation tax rates
The rate at which corporation tax is charged for the financial year 1990 shall be 34 per cent. (and not 35 per cent. as provided by section 19 of the Finance Act 1990).
For the financial year 1990 the fraction mentioned in section 13(2) of the Taxes Act 1988 (marginal relief for small companies) shall be nine four-hundredths (and not one fortieth as provided by section 20 of the Finance Act 1990).
All such adjustments shall be made, whether by way of discharge or repayment of tax or otherwise, as may be required in consequence of the provisions of this section.
Corporation tax shall be charged for the financial year 1991 at the rate of 33 per cent.
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Interest
For the year 1991-92 the qualifying maximum defined in section 367(5) of the Taxes Act 1988 (limit on relief for interest on certain loans) shall be £30,000.
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Section 354(3) of the Taxes Act 1988 (interest eligible for relief in the case of a caravan only if the caravan is large or certain conditions presupposing domestic rating are met) shall cease to have effect.
This section shall have effect for the year 1991-92 and subsequent years of assessment.
Benefits in kind
In Schedule 6 to the Taxes Act 1988 (taxation of directors and others in respect of cars) for Part I (tables of flat rate cash equivalents) there shall be substituted—
This section shall have effect for the year 1991-92 and subsequent years of assessment.
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Vocational training
This section applies where—
on or after 6th April 1992 an individual resident in the United Kingdom makes a payment in respect of a qualifying course of vocational training,
the payment is made in respect of an allowable expense,
the payment is made in connection with the individual’s own training,
at the time the payment is made, the individual—
in a case where the qualifying course of vocational training is such a course by virtue only of paragraph (b) of subsection (10) below, has attained the age of thirty, or
in any other case, has attained school-leaving age and, if under the age of nineteen, is not a person who is being provided with full-time education at a school,
the individual undertakes the course neither wholly nor mainly for recreational purposes or as a leisure activity,
at the time the payment is made, the individual has not received in relation to the course, and is not entitled to receive in relation to it, any public financial assistance of a description specified in regulations made by the Treasury for the purposes of this paragraph, and
the individual is not entitled to claim any relief or deduction in respect of the payment under any other provision of the Income Tax Acts.
The individual shall be entitled to relief under this subsection in respect of the payment for the year of assessment in which it is made; but relief under this subsection shall be given only on a claim made for the purpose, except where subsections (3) to (5) below apply.
Where an individual is entitled to relief under subsection (2) above in respect of any payment made in a year of assessment, the amount of his liability for that year to income tax on his total income shall be the amount to which he would be liable apart from this section less whichever is the smaller of—
the amount which is equal to such percentage of the amount of the payment as is the basic rate for the year; and
the amount which reduces his liability to nil.
In determining for the purposes of subsection (2A) above the amount of income tax to which a person would be liable apart from this section, no account shall be taken of—
any income tax reduction under Chapter I of Part VII of the Taxes Act 1988 or under section 347B of that Act;
any income tax reduction under section 353(1A) of the Taxes Act 1988;
any relief by way of a reduction of liability to tax which is given in accordance with any arrangements having effect by virtue of section 788 of the Taxes Act 1988 or by way of a credit under section 790(1) of that Act;
any tax at the basic rate on so much of that person’s income as is income the income tax on which he is entitled to charge against any other person or to deduct, retain or satisfy out of any payment.
In such cases and subject to such conditions as the Board may specify in regulations, relief under subsection (2) above shall be given in accordance with subsections (4) and (5) below.
An individual who is entitled to such relief in respect of a payment may deduct and retain out of it an amount equal to income tax on it at the basic rate for the year of assessment in which it is made.
The person to whom the payment is made—
shall accept the amount paid after deduction in discharge of the individual’s liability to the same extent as if the deduction had not been made, and
may, on making a claim in accordance with regulations, recover from the Board an amount equal to the amount deducted.
The Treasury may make regulations providing that in circumstances prescribed in the regulations—
an individual who makes, in respect of a qualifying course of vocational training, a payment in respect of an allowable expense shall cease to be and be treated as not having been entitled to relief under subsection (2) above in respect of the payment or such part of it as may be determined in accordance with the regulations; and
he or the person to whom the payment was made (depending on the terms of the regulations) shall account to the Board for tax from which relief has been given on the basis that the individual was so entitled.
Regulations under subsection (6) above may include provision adapting or modifying the effect of any enactment relating to income tax in order to secure the performance of any obligation imposed under paragraph (b) of that subsection.
In subsection (1)(a) above, the reference to an individual resident in the United Kingdom includes an individual performing duties which are treated by virtue of section 132(4)(a) of the Taxes Act 1988 as performed in the United Kingdom.
For the purposes of this section, a payment made in respect of a qualifying course of vocational training is made in respect of an allowable expense if—
it is made in respect of fees payable in connection with undertaking the course, including fees payable for assessment purposes, or
it is made in respect of fees payable in connection with the making, as a result of having undertaken the course, of any entry in an official register or any award.
In this section “qualifying course of vocational training means—
any programme of activity capable of counting towards a qualification—
accredited as a National Vocational Qualification by the Qualifications and Curriculum Authority or by the Qualifications, Curriculum and Assessment Authority for Wales, or
accredited as a Scottish Vocational Qualification by the Scottish Qualifications Authority; or
any course of training which—but treating any time devoted to study in connection with the course as time devoted to the practical application of skills or knowledge.
satisfies the conditions set out in the paragraphs of section 589(1) of the Taxes Act 1988 (qualifying courses of training etc),
requires participation on a full-time or substantially full-time basis, and
extends for a period which consists of or includes four consecutive weeks,
In this section—“school means any institution at which full-time education is provided to persons at least some of whom are under school-leaving age; and“school-leaving age means the age of sixteen.
The Board may by regulations—
make provision for and with respect to appeals against a decision of an officer of the Board or the Board with respect to a claim under section 32(5)(b) above;
make provision, in relation to payments in respect of which a person is entitled to relief under section 32 above, for persons who provide vocational training courses to give, in such circumstances as may be prescribed, certificates of payment in such form as may be prescribed to such persons as may be prescribed;
provide that a person who provides (or has at any time provided) training courses which are (or were) qualifying courses of vocational training for the purposes of section 32 above shall comply with any notice which is served on him by the Board and which requires him within a prescribed period to make available for the Board’s inspection documents (of a prescribed kind) relating to such courses;
provide that persons of such description as may be prescribed shall, within a prescribed period of being required to do so by the Board, furnish to the Board information (of a prescribed kind) about training courses which are qualifying courses of vocational training for the purposes of section 32 above;
make provision generally as to administration in connection with section 32 above.
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The following provisions of the Taxes Management Act 1970, namely—shall apply in relation to an amount which is paid to any person by the Board as an amount recoverable by virtue of section 32(5)(b) above but to which that person is not entitled as if it were income tax which ought not to have been repaid and, where that amount was claimed by that person, as if it had been repaid as respects a chargeable period as a relief which was not due.
section 29(1)(c) (excessive relief) as it has effect apart from section 29(2) to (10) of that Act;
section 30 (tax repaid in error etc.) apart from subsection (1B),
section 86(interest), and
section 95 (incorrect return or accounts),
In the application of section 86 of the Taxes Management Act 1970 by virtue of subsection (3) above in relation to sums due and payable by virtue of an assessment made under section 29(1)(c) or 30 of that Act, as applied by that subsection, the relevant date—
in a case where the person falling within section 32(5) above has made any interim claim, within the meaning of regulations made under subsection (1) above, as respects some part of the year of assessment for which the assessment is made, is 1st January in that year of assessment; and
in any other case, is the later of the following dates, that is to say—
1st January in the year of assessment for which the assessment is made; or
the date of the making of the payment by the Board which gives rise to the assessment.
In sections. . . 257D(8) and 265(3) of the Taxes Act 1988, after paragraph (d) there shall be inserted
In subsection (1) above, “prescribed means prescribed by or, in relation to form, under the regulations.
Retirement benefits schemes
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Profit-related pay, share schemes etc.
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The Taxes Act 1988 shall be amended as follows.
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In Schedule 10 (further provisions relating to profit sharing schemes) in sub-paragraph (b) of paragraph 2 and in sub-paragraph (c)(ii) of paragraph 3 for “pensionable age” there shall be substituted “the relevant age ”, and at the end of each of those paragraphs there shall be inserted—.
In section 187(2) (definitions for the purposes of provisions relating to employee share schemes) after the definition of “shares” there shall be inserted—.
In Part II of Schedule 9 (requirements generally applicable to employee share schemes) after paragraph 8 there shall be inserted—
Subsection (5) above shall have effect in relation to a scheme not approved before the day on which this Act is passed.
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In section 187(2) of the Taxes Act 1988, in the definition of “relevant amount” (limit on the value of shares that may be appropriated to a participant in a year of assessment) for “not less than £2,000 and not more than £6,000” there shall be substituted “not less than £3,000 and not more than £8,000 ”.
This section shall apply for the year 1991-92 and subsequent years of assessment.
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Foreign earnings
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Insurance companies and friendly societies
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Schedule 7 to this Act shall have effect.
Schedule 9 to this Act (which makes provision about friendly societies) shall have effect.
Building societies
Schedule 10 to this Act (which makes provision about certain kinds of building society share) shall have effect.
Schedule 11 to this Act (which makes provision about the deduction of income tax in the case of marketable securities issued by building societies) shall have effect.
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Securities
Schedule 12 to this Act (which contains provisions about securities issued after an issue of securities of the same kind) shall have effect.
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After section 736 of the Taxes Act 1988 there shall be inserted—
The enactments mentioned in Schedule 13 to this Act shall have effect with the amendments there specified.
This section shall have effect in relation to payments made on or after such day as the Treasury may specify for this purpose by regulations made by statutory instrument and different days may be so appointed for different provisions or different purposes.
Capital allowances
Oil industry
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Miscellaneous
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Section 339A of the Taxes Act 1988 (maximum qualifying donations in the case of companies) shall cease to have effect.
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Subsections (1) and (2) above shall apply in relation to accounting periods beginning on or after 19th March 1991.
In its application to accounting periods beginning before 19th March 1991 and ending on or after that date, section 339A of the Taxes Act 1988 shall have effect as if—
in subsections (1) and (2), after the words “in that period”, in the first place where they occur, there were inserted “and before 19th March 1991”; and
in subsection (3)(b), after “that section” there were inserted “in respect of payments made before 19th March 1991”.
In section 25 of the Finance Act 1990 (donations to charity by individuals) subsection (2)(h) (maximum qualifying donations) shall cease to have effect.
Subsection (5) above shall apply in relation to gifts made on or after 19th March 1991.
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Sections 393(2) to (6) and 394 of the Taxes Act 1988 (which are superseded by this section) shall cease to have effect.
Schedule 15 to this Act shall have effect.
This section shall have effect only in relation to losses incurred in accounting periods ending on or after 1st April 1991.
Any enactment amended by this section or that Schedule shall, in its application in relation to losses so incurred, be deemed to have had effect at all times with that amendment; and where any such enactment is the re-enactment of a repealed enactment, the repealed enactment shall, in its application in relation to losses so incurred, be deemed to have had effect at all times with a corresponding amendment.
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Section 230 of the Income and Corporation Taxes Act 1970 (from which section 656 of the Taxes Act 1988 is derived) shall be deemed always to have had effect as if the subsections (7) to (9) set out in subsection (1) above had been contained in that section as subsections (8) to (10) respectively, but with the substitution for “(2)(a)” and “(4)(c)”, in each place where they occur, of “(2A)(a) ” and “(3)(c) ” respectively.
Section 27 of the Finance Act 1956 (from which section 230 of the Income and Corporation Taxes Act 1970 was derived) shall be deemed always to have had effect as if the subsections (7) and (9) set out in subsection (1) above had been contained in that section as subsections (8A) and (8B) respectively, but with the omission in subsection (7) of paragraph (a) and with the substitution of “(3)(c) ” for “(4)(c)” in both places where it occurs.
In paragraph 1 of Schedule 18 to the Taxes Act 1988 (under which a person who is a loan creditor of a company in respect of a non-commercial loan is an equity holder of the company) after sub-paragraph (5D) there shall be inserted—
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Except as provided by subsection (2) above, this section shall be deemed to have come into force on 1st April 1991.
This section applies to any agreement relating to the sharing of transmission facilities—
to which the parties are national broadcasting companies,
which is entered into on or after the day on which this Act is passed and before 1st January 1992 or such later date as may be specified for the purposes of this paragraph by the Secretary of State, and
in relation to which the Secretary of State has certified that it is expedient that this section should apply.
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Where under an agreement to which this section applies one party to the agreement disposes of plant or machinery to another party to the agreement, the Capital Allowances Act shall apply—
in the case of the party making the disposal, as if the disposal value of the plant or machinery for the purposes of section 60 of that Act were equal to the capital expenditure incurred by that party on its provision, and
in the case of the party to whom the disposal is made, as if the amount expended by that party in acquiring the plant or machinery were equal to the capital expenditure so incurred.
In subsection (4) above, references to plant or machinery include a share in plant or machinery.
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In this section, “national broadcasting company means a body corporate engaged in the broadcasting for general reception by means of wireless telegraphy of radio or television services or both on a national basis.
In Schedule 12 to the Finance Act 1988 (building societies: change of status) in paragraph 6(1)(b) for “section 476” there shall be substituted “section 477A ”.
This section shall apply where qualifying benefits are conferred on or after 6th April 1991.
Paragraph 8(2) of Schedule 11 to the Electricity Act 1989 (treatment of certain debentures for the purposes of the Corporation Tax Acts) shall have effect, and be deemed always to have had effect, with the addition after paragraph (b) of the words—“ and if any such debenture includes provision for the payment of a sum expressed as interest in respect of a period which falls wholly or partly before the issue of the debenture, any payment made in pursuance of that provision in respect of that period shall be treated for the purposes of the Corporation Tax Acts as if the debenture had been issued at the commencement of that period and, accordingly, as interest on the principal sum payable under the debenture. ”
In the Taxes Management Act 1970, the following section shall be inserted after section 99—
So far as relating to the giving of a certificate, this section shall apply in relation to certificates given on or after the day on which this Act is passed.
So far as relating to failure to comply with an undertaking contained in a certificate, this section shall apply in relation to certificates whenever given, but not so as to impose liability for a failure occurring before the day on which this Act is passed.
Settlements
Private residence
Miscellaneous
OIL TAXATION
Abandonment etc.
Section 3 of the principal Act (allowance of certain expenditure) shall be amended in accordance with subsections (2) to (6) below.
With respect to expenditure incurred on or after 19th March 1991, in subsection (1), after paragraph (h) there shall be inserted the following paragraph—.
With respect to expenditure incurred after 30th June 1991, in subsection (1), for paragraph (i) there shall be substituted the following paragraphs—
After subsection (1) there shall be inserted the following subsections—
After subsection (5A) there shall be inserted the following subsection—
In subsection (6) (apportionment of expenditure)—
at the beginning there shall be inserted “Without prejudice to any apportionment under subsection (1C) or subsection (1D) above ”; and
after the words “subsections (1) and (5) above” there shall be inserted “other than paragraph (hh) of subsection (1) ”.
In section 10 of the principal Act (exempt gas)—
in subsection (2) for the words “and (i) of subsection (1)” there shall be substituted “(hh), (i) and (j) of subsection (1) and subsection (1D) ”;
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So far as they relate to the paragraph (hh) inserted by subsection (2) above, the amendments in subsections (5) to (7) above have effect with respect to expenditure incurred on or after 19th March 1991 and, subject to that, the amendments in subsections (4) to (7) above have effect with respect to expenditure incurred after 30th June 1991.
Subject to subsection (2) below, for the purposes of section 3 of the principal Act ..., an abandonment guarantee is a contract under which a person ( “the guarantor) undertakes to make good any default by a participator in an oil field ( “the relevant participator) in meeting the whole or any part of those liabilities of his which—and such a contract is an abandonment guarantee regardless of the form of the undertaking of the guarantor and, in particular, whether or not it is expressed as a guarantee or arises under a letter of credit, a performance bond or any other instrument.
arise under a relevant agreement relating to that field; and
are liabilities to contribute to field abandonment costs;
For the purposes of section 3 of the principal Act ... a contract is not an abandonment guarantee—
unless it is entered into in good faith and on terms reasonably appropriate to the nature and extent of the guarantee; or
if the guarantor undertakes any liability beyond that of making good any such default as is referred to in subsection (1) above; or
if it can be revoked by the guarantor otherwise than on account of some fraud, misrepresentation or other fault on the part of the relevant participator occurring prior to the making of the contract; or
if, subject to subsection (3) below, the guarantor is, or is a person connected with, a participator in one or more oil fields.
Paragraph (d) of subsection (2) above does not apply if—and section 1122 of the Corporation Tax Act 2010 (connected persons) applies for the purposes of this subsection and subsection (2) above.
the main business carried on by the guarantor is such that it is in the ordinary course of that business to provide guarantees; and
the relevant participator is not connected with the guarantor;
Without prejudice to the generality of paragraph (a) of subsection (2) above, a contract shall not be regarded as entered into in good faith if, as a result of any arrangement, the liability to make good any such default as is referred to in subsection (1) above will be met, directly or indirectly, by such a person that, if he were the guarantor under the contract, the contract could not be an abandonment guarantee by virtue of paragraph (d) of subsection (2) above.
In this section and in section 3(5B) of the principal Act—
in relation to an oil field, a “relevant agreement means a joint operating agreement, a unitisation agreement (within the meaning of paragraph 1(1) of Schedule 17 to the Finance Act 1980) or an agreement entered into by some or all of the parties to a joint operating agreement or such a unitisation agreement; and
in relation to an oil field, “field abandoNment costs means costs incurred in closing down the field or any part of it, together with any costs incurred in discharging any continuing liabilities resulting directly from that closure.
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In Schedule 5 to the principal Act (procedure for allowance of expenditure) at the beginning of paragraph (b) of sub-paragraph (4) of paragraph 2 (claim must state the shares, by reference to their respective interests in the oil field, in which participators propose to divide expenditure) there shall be inserted “Subject to paragraph 2A below ”.
After paragraph 2 of Schedule 5 to the principal Act there shall be inserted the following paragraph—
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Penalties
In Schedule 2 to the principal Act (management and collection of petroleum revenue tax) the Table in paragraph 1(1) shall be amended as follows.
The following shall be substituted for the entries relating to section 100 of the Taxes Management Act 1970—.
The following shall be substituted for the entries relating to section 103 of the Taxes Management Act 1970—
STAMP DUTY AND STAMP DUTY RESERVE TAX
Where apart from this section stamp duty under any of the provisions of Schedule 13 to the Finance Act 1999 would be chargeable on an instrument, stamp duty shall not be so chargeable if the property consists entirely of exempt property.
For the purposes of this section exempt property is property other than—
land,
an interest in the proceeds of the sale of land held on trust for sale, or
a licence to occupy land.
This section applies to—
an instrument executed in pursuance of a contract made on or after the abolition day;
an instrument which is not executed in pursuance of a contract and is executed on or after the abolition day.
For the purposes of this section the abolition day is such day as may be appointed under section 111(1) of the Finance Act 1990 (abolition of stamp duty for securities etc).
This section applies where—
stamp duty under Part I of Schedule 13 to the Finance Act 1999 (conveyance or transfer on sale) is chargeable on an instrument to which this section applies, and
part of the property concerned consists of exempt property.
In such a case—
the consideration in respect of which duty would be charged (apart from this section) shall be apportioned, on such basis as is just and reasonable, as between the part of the property which consists of exempt property and the part which does not, and
the instrument shall be charged only in respect of the consideration attributed to such of the property as is not exempt property.
In this section “exempt property has the same meaning as in section 110 above.
This section applies to—
an instrument executed in pursuance of a contract made on or after the abolition day;
an instrument which is not executed in pursuance of a contract and is executed on or after the abolition day.
In this section “the abolition day has the same meaning as in section 110 above.
Subsection (2) below applies where part of the property referred to in section 58(1) of the Stamp Act 1891 (consideration to be apportioned between different instruments as parties think fit) consists of exempt property.
Section 58(1) shall have effect as if “the parties think fit” read “is just and reasonable”.
Subsection (4) below applies where—
part of the property referred to in section 58(2) of the Stamp Act 1891 (property contracted to be purchased by two or more persons etc.) consists of exempt property, and
both or (as the case may be) all the relevant persons are connected with one another.
Section 58(2) shall have effect as if the words from “for distinct parts of the consideration” to the end of the subsection read “, the consideration is to be apportioned in such manner as is just and reasonable, so that a distinct consideration for each separate part or parcel is set forth in the conveyance relating thereto, and such conveyance is to be charged with ad valorem duty in respect of such distinct consideration.”
In a case where subsection (2) or (4) above applies and the consideration is apportioned in a manner that is not just and reasonable, the enactments relating to stamp duty shall have effect as if—
the consideration had been apportioned in a manner that is just and reasonable, and
the amount of any distinct consideration set forth in any conveyance relating to a separate part or parcel of property were such amount as is found by a just and reasonable apportionment (and not the amount actually set forth).
In this section “exempt property has the same meaning as in section 110 above.
For the purposes of subsection (3) above—
a person is a relevant person if he is a person by or for whom the property is contracted to be purchased;
the question whether persons are connected with one another shall be determined in accordance with section 1122 of the Corporation Tax Act 2010.
This section applies where the contract concerned is made on or after the abolition day.
In this section “the abolition day has the same meaning as in section 110 above.
For the purposes of paragraph 6(1) of Schedule 13 to the Finance Act 1999 (meaning of instrument being certified at an amount)—
a sale or contract or agreement for the sale of exempt property within the meaning of section 110 above shall be disregarded; and
any statement as mentioned in that provision shall be construed as leaving out of account any matter which is to be so disregarded.
This section applies to—
an instrument executed in pursuance of a contract made on or after the abolition day;
an instrument which is not executed in pursuance of a contract and is executed on or after the abolition day.
In this section “the abolition day has the same meaning as in section 110 above.
Section 36 of the Finance Act 1949 and section 9 of the Finance Act (Northern Ireland) 1949 shall be amended as mentioned in subsections (2) and (3) below.
In subsection (4) of each of those sections (goods not affected by section 12 of the Finance Act 1895, which relates to duty on property acquired under statute) for the words “goods, wares or merchandise” (in each place where they occur) there shall be substituted the words “exempt property ”.
In each of those sections the following subsection shall be inserted after subsection (4)—
This section applies where the Act mentioned in section 12 of the Finance Act 1895, and by virtue of which property is vested or a person is authorised to purchase property, is passed on or after the abolition day.
In this section “the abolition day has the same meaning as in section 110 above.
The Treasury may make regulations providing as mentioned in this section with regard to any circumstances which—
would (apart from the regulations) give rise to a charge to stamp duty,
involve a prescribed relevant entity, or a member or nominee (or member or nominee of a prescribed description) of such a relevant entity, or a nominee (or nominee of a prescribed description) of a member of such a relevant entity, and
are such as are prescribed.
The regulations may provide that the charge to stamp duty shall be treated as not arising or (depending on the terms of the regulations) as reduced.
Regulations under this section—
shall be made by statutory instrument subject to annulment in pursuance of a resolution of the House of Commons;
may include such supplementary, incidental, consequential or transitional provisions as appear to the Treasury to be necessary or expedient;
may make different provision for different circumstances;
may make any provision in such way as the Treasury think fit (whether by amending enactments or otherwise).
In this section—
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“prescribed means prescribed by the regulations, and
“relevant entity” means any of the following—
a UK regulated market (within the meaning given by Article 2.1(13A) of Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments);
a UK multilateral trading facility (within the meaning given by Article 2.1(14A) of that Regulation);
an EU regulated market (within the meaning given by Article 2.1(13B) of that Regulation);
an EU multilateral trading facility (within the meaning given by Article 2.1 (14B) of that Regulation);
a Gibraltar regulated market (within the meaning given by Article 26(11)(b)(i) of that Regulation);
a Gibraltar multilateral trading facility (within the meaning given by Article 26(11)(b)(ii) of that Regulation);
a recognised clearing house, a recognised CSD..., a third country CSD, a recognised investment exchange... and a third country central counterparty (within the meaning of section 285 of the Financial Services and Markets Act 2000).
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The Treasury may make regulations providing as mentioned in this section with regard to any circumstances which—
would (apart from the regulations) give rise to a charge to stamp duty reserve tax,
involve a prescribed relevant entity, or a member or nominee (or member or nominee of a prescribed description) of such a relevant entity, or a nominee (or nominee of a prescribed description) of a member of such a relevant entity, and
are such as are prescribed.
The regulations may provide that the charge to stamp duty reserve tax shall be treated as not arising or (depending on the terms of the regulations) as reduced.
Subsections (3) and (4) of section 116 above shall apply for the purposes of this section as they apply for the purposes of that.
MISCELLANEOUS AND GENERAL
Miscellaneous
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In section 828(4) of that Act (Treasury orders not subject to annulment in pursuance of a resolution of the House of Commons) after “377(8),” there shall be inserted “582A(1), ”.
The Government Trading Funds Act 1973 shall be amended as follows.
In section 2 (assets and liabilities of funds) in subsections (1)(b) and (2) the words “at values or amounts determined by him in accordance with Treasury directions” shall be omitted.
In that section, the following subsection shall be inserted after subsection (2)—
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General
In this Act “the Taxes Act 1988 means the Income and Corporation Taxes Act 1988.
Part II of this Act, so far as it relates to capital gains tax, shall be construed as one with the Capital Gains Tax Act 1979.
Part III of this Act shall be construed as one with Part I of the Oil Taxation Act 1975 and in that Part of this Act “the principal Act means that Act.
The enactments specified in Schedule 19 to this Act (which include certain provisions which are already spent) are hereby repealed to the extent specified in the third column of that Schedule, but subject to any provision at the end of any Part of that Schedule.
This Act may be cited as the Finance Act 1991.
AMENDMENTS RELATING TO BEER DUTY
General amendment of enactments relating to beer
Subject to section 7 of this Act and the following provisions of this Schedule—
for the words “brewer for sale” or “brewers for sale”, wherever occurring in the Customs and Excise Acts 1979 ... ... there shall be substituted respectively the words “registered brewer ” or “registered brewers ”; and
for the word “brew”, “brews”, “brewing” or “brewed”, wherever occurring in those Acts in connection with worts or beer, there shall be substituted respectively the word “produce ”, “produces ”, “producing ” or “produced ”.
The Alcoholic Liquor Duties Act 1979 (c.4)
In section 1 of the Alcoholic Liquor Duties Act 1979, in subsection (3) (definition of beer)—
for the words “on analysis of a sample is found to be” there shall be substituted the word “is ”; and
paragraph (b) and the word “or” immediately preceding it shall cease to have effect.
In section 2 of that Act, in subsection (3A) (regulations enabling the strength, weight or volume of spirits, wine or made-wine to be ascertained by reference to information on the label of the container etc) after the word “spirits,” in both places where it occurs there shall be inserted the word “beer, ”.
In subsection (5) of that section (saving for other methods of calculating the strength, weight or volume of wine, made-wine or cider) after the words “volume of” there shall be inserted the word “beer, ”.
Subsection (6) of that section (section not to apply to beer) shall cease to have effect.
In section 3 of that Act (meaning of, and method of ascertaining, gravity of liquids)—shall cease to have effect.
in subsection (3), the words “Subject to subsection (5) below”, and
subsection (5) (original gravity for purposes of section 38),
Section 4(1) of that Act (definitions) shall be amended in accordance with the following provisions of this paragraph.
The definitions of “brewer” and “brewer for sale” and of “limited licence to brew beer” shall be omitted.
After the definition of “methylated spirits” there shall be inserted—.
After the definition of “rectifier” there shall be inserted—.
Section 40 of that Act (duty on imported beer etc) shall cease to have effect.
For section 41 of that Act (exemption from duty of beer brewed for private consumption) there shall be substituted—
In section 42 of that Act (drawback on exportation, removal to excise warehouse, shipment as stores etc) for subsection (3) (declaration required for beer brewed in the UK) there shall be substituted—
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In section 44 of that Act (remission or repayment of duty on beer used for purposes of research or experiment) in subsection (1) for the word “brewing” there shall be substituted the words “the production of beer ”.
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For section 46 of that Act (remission or repayment of duty on spoilt beer) there shall be substituted—
For section 49 of that Act (power to regulate manufacture of beer by brewers for sale) there shall be substituted—
In section 49A of that Act, in subsection (1) (duty determined in accordance with regulations under section 49(1)(bb) deemed to have been paid for purposes of claims for drawback by brewers for sale)—
for the words “brewer for sale” there shall be substituted the words “registered brewer or person registered under section 41A above ”; and
for the words “section 49(1)(bb)” there shall be substituted the words “section 49(1)(e) ”.
In subsection (2) of that section—
for the words “brewer for sale” in both places where they occur there shall be substituted the words “registered brewer or person registered under section 41A above ”;
for the words “the brewer” there shall be substituted the word “he ”; and
for the words “under section 38 above” there shall be substituted the words “in respect of the excise duty on beer ”.
Section 50 of that Act (regulations as respects sugar kept by brewers for sale) shall cease to have effect.
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Section 53 of that Act (limited licences to brew) shall cease to have effect.
Section 71A of that Act (restrictions on adding substances to beer) shall cease to have effect.
Section 72 of that Act (offences by wholesaler or retailer of beer) shall cease to have effect.
The Bankruptcy (Scotland) Act 1985 (c.66)
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The Insolvency Act 1986 (c.45)
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The Insolvency (Northern Ireland) Order 1989
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The Licensing (Northern Ireland) Order 1990
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MODIFICATION OF ENACTMENTS EXTENDED TO NORTHERN IRELAND
THE VEHICLES (EXCISE) ACT 1971
Introduction
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Excise duty on, and licensing of, mechanically propelled vehicles
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Exemptions from duty
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In section 7 (miscellaneous exemptions from duty)—
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Liability to pay duty and consequences of non-payment
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Registration and registration marks, etc.
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Miscellaneous
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Supplementary
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Schedules
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In section 11 of the Finance Act 1976, for subsection (5) there shall be substituted the following subsection—
REGISTERED EXCISE DEALERS AND SHIPPERS
After Part VIIIA of the Customs and Excise Management Act 1979 there shall be inserted—
PROTECTION OF THE REVENUES DERIVED FROM EXCISE DUTIES
After Part IX of the Customs and Excise Management Act 1979 there shall be inserted—
RESTRICTION OF HIGHER RATE RELIEF: BENEFICIAL LOANS ETC
Taxation of beneficial loan arrangements
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Applicable rates of capital gains tax
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BASIC LIFE ASSURANCE AND GENERAL ANNUITY BUSINESS
Management expenses
In section 76 of the Taxes Act 1988 (expenses of management of insurance companies) in subsection (1)—
in paragraphs (ca) ..., for the words “basic life assurance business” there shall be substituted in each place the words “basic life assurance and general annuity business ”;
in paragraph (d), the words “general annuity business” shall cease to have effect.
Interpretation of Chapter I of Part XII
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Apportionment of income and gains
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Computation of trading profit
In section 436 of that Act (general annuity business and pension business: separate charge on profits) in subsection (1)—
the words “general annuity business or” shall cease to have effect, and
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In subsection (3) of that section—shall cease to have effect.
in paragraph (c), the words “or general annuity business”, and
in paragraph (e), the words “general annuity business or”,
In subsection (4) of that section, the words “general annuity business or” shall cease to have effect.
In section 437 of that Act (general annuity business) subsections (2) to (5) shall cease to have effect.
Deduction for annuities referable to basic life assurance and general annuity business
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Transfer of assets between classes of business
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United Kingdom branches of overseas life assurance companies
In section 446 of that Act (computation under section 436 of profits arising to an overseas life assurance company)—shall cease to have effect.
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subsections (2) and (3),
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Subsection (3) of that section (proportion of profits arising from general annuity business for purposes of section 446) shall cease to have effect.
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Treatment of tax-free income
In section 474 of that Act, in subsection (1)(b) (certain tax-free income to be included in computing profits or loss from pension business and general annuity business) the words “and general annuity business” shall cease to have effect.
Life annuity contracts: taxation of gain on chargeable event
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Computation of offshore income gains
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Interpretation of sections 85 to 89 of Finance Act 1989
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Miscellaneous receipts
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Spreading of relief for acquisition expenses
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In subsection (4) of that section (meaning of “the acquisition of business”) after the word “includes” there shall be inserted “(a) ” and at the end there shall be added the words
Deemed disposal of unit trusts etc
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Exemptions and exclusions from charges by virtue of section 46
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Transitional relief for old general annuity contracts
In the application of the I - E rules in relation to an accounting period of an insurance company, an amount equal to the lesser of the following amounts is to be treated (if it is not nil) for the purposes of section 76 of the Finance Act 2012 as a deemed BLAGAB management expense for the accounting period that is to say—and if the result of the formula in paragraph (b) above is a negative amount, it shall be taken to be nil.
A, and
A - (R1 - R2 + C -SV - DB),
For the purposes of sub-paragraph (1) above—A is the gross amount of any annuities paid in the accounting period so far as referable to old annuity contracts; R1 is the amount of the company’s opening liabilities for the accounting period in respect of old annuity contracts but taking that amount as nil if it would otherwise be below nil; R2 is the amount of the company’s closing liabilities for the accounting period in respect of old annuity contracts but taking that amount as nil if it would otherwise be below nil; C is the amount of any consideration received in the accounting period in respect of old annuity contracts; SV is the amount of any sums paid in the accounting period by reason of the surrender of rights conferred by old annuity contracts; DB is the amount of any death benefits paid in the accounting period in respect of old annuity contracts.
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If, in the case of an annuity under a group annuity contract made by an insurance company in an accounting period beginning before 1st January 1992—the group annuity contract, so far as relating to that annuity, shall be treated for the purposes of this paragraph, other than this sub-paragraph, as if it had been made in an accounting period beginning on or after 1st January 1992 (and were, accordingly, not an old annuity contract).
the company’s liabilities first include an amount in respect of that annuity in an accounting period beginning on or after that date, and
the company’s liability in respect of that annuity is referable to its basic life assurance and general annuity business,
If, in the case of an annuity which is subject to a reinsurance treaty made by the reinsurer in an accounting period beginning before 1st January 1992—the reinsurance treaty, as respects the reinsurer and so far as relating to that annuity, shall be treated for the purposes of this paragraph, other than this sub-paragraph, as if it had been made in an accounting period beginning on or after 1st January 1992 (and were, accordingly, not an old annuity contract).
the reinsurer’s liabilities first include an amount in respect of that annuity in an accounting period beginning on or after that date, and
the reinsurer’s liability in respect of that annuity is referable to its basic life assurance and general annuity business,
In this paragraph—“general annuity contract means an annuity contract so far as referable to general annuity business;“group annuity contract means a contract between an insurance company and some other person under which the company undertakes to become liable to pay annuities to or in respect of such persons as may subsequently be specified or otherwise ascertained under or in accordance with the contract (whether or not annuities under the contract are also payable to or in respect of persons who are specified or ascertained at the time the contract is made);“old annuity contract means a general annuity contract made by an insurance company in an accounting period beginning before 1st January 1992 (including one forming part of the business transferred to another insurance company by an insurance business transfer scheme);“reinsurance treaty means a contract under which one insurance company is obliged to cede, and another (in this paragraph referred to as a “reinsurer) to accept, the whole or part of a risk of a class or description to which the contract relates;...
Where—the reference in the definition of R1 in sub-paragraph (2) above to the company's opening liabilities for the accounting period is, in relation to the transferred contracts, a reference to the company's liabilities in respect of the transferred contracts immediately after the transfer.
business is transferred to an insurance company by an insurance business transfer scheme during an accounting period of the company, and
the business transferred consists of or includes old annuity contracts (“the transferred contracts”),
Transitional provisions for chargeable gains and unrelieved general annuity losses
An insurance company’s unrelieved general annuity losses shall be relieved under this paragraph by setting them against the relevant part of any chargeable gains arising to the company in accounting periods beginning on or after 1st January 1992.
Any relief under this paragraph shall be given as far as possible for the first accounting period of the company beginning on or after 1st January 1992 and, so far as it cannot be so given, for the next accounting period, and so on.
For the purposes of this paragraph an insurance company’s “unrelieved general annuity losses are so much of any losses—as, by virtue only of an insufficiency of profits, cannot be relieved under that subsection (or any previous enactment which it re-enacts) by setting them off against the profits of such an accounting period or year of assessment.
arising from the company’s general annuity business in an accounting period or year of assessment beginning before 1st January 1992, and
computed as mentioned in paragraph (c) of subsection (3) of section 436 of the Taxes Act 1988 as it applied in relation to such accounting periods,
For the purposes of this paragraph the relevant part of the chargeable gains arising to a company in an accounting period is so much of the chargeable gains arising to the company in the accounting period as are referable to its basic life assurance and general annuity business.
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Application of this Schedule
Paragraphs 1, 3, 4, 5, 6(1) and (2), 7, 8, 10 to 14, 16 and 17 above have effect with respect only to accounting periods beginning on or after 1st January 1992.
FRIENDLY SOCIETIES
Tax exempt life or endowment business
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Maximum benefits payable to members
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Qualifying policies
In Schedule 15 to that Act (qualifying policies) in paragraph 3, sub-paragraph (1)(c) (contract for policy issued by new society to be made by member over 18) shall be omitted, with the word “and” immediately preceding it.
This paragraph shall apply in relation to policies issued in pursuance of contracts made on or after the day on which this Act is passed.
This paragraph applies to any policy—
issued by a friendly society, or branch of a friendly society, in the course of tax exempt life or endowment business (as defined in section 466 of the Taxes Act 1988), and
effected by a contract made after 31st August 1987 and before the day on which this Act is passed.
Where—Schedule 15 to that Act, in its application to the policy, shall have effect, in relation to that variation, with the modifications mentioned in sub-paragraph (3) below.
the amount payable by way of premium under a policy to which this paragraph applies is increased by virtue of a variation made in the period beginning with the day on which this Act is passed and ending with 31st July 1992, and
the variation is not such as to cause a person to become in breach of the limits in section 464 of the Taxes Act 1988,
The modifications are the omission of paragraph 4(3)(a) and the insertion at the end of paragraph 18(2) of
BUILDING SOCIETIES: QUALIFYING SHARES
Capital gains: exemption
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Accrued income scheme: inclusion
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Incidental costs of issue
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Preferential rights of acquisition
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BUILDING SOCIETIES: MARKETABLE SECURITIES
Deduction of income tax
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Collection
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Information
In section 18 of the Taxes Management Act 1970 (information about interest payments) after subsection (3C) there shall be inserted—
This paragraph shall have effect as regards a case where the payment is made on or after the day on which this Act is passed.
SECURITIES: NEW ISSUES
General treatment of extra return
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Accrued income scheme
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Deep discount securities
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Deep gain securities
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General
This Schedule applies if the new securities are issued on or after 19th March 1991 (whether the old securities are issued before or on or after that day).
MANUFACTURED DIVIDENDS AND INTEREST
The new arrangements
After Schedule 23 to the Taxes Act 1988 there shall be inserted—
Power to obtain information in connection with dealings in securities
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Manufactured dividends etc: amendments of section 737
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Consequential provisions
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INDUSTRIAL BUILDINGS AND STRUCTURES
Buildings and structures in enterprise zones
In section 1 of the Capital Allowances Act 1990 (enterprise zones) after subsection (1) there shall be inserted—
Transitional relief for regional projects
After subsection (3) of that section there shall be inserted—
Writing-down allowances
In section 3 of that Act (writing-down allowances in respect of industrial buildings and structures) after subsection (2) there shall be inserted—
In subsection (3) of that section (sale of relevant interest: recalculation of future writing-down allowances) after the words “on a later sale there shall be inserted the words “or under subsection (2B) or (2C) above ”.
Balancing allowances and balancing charges
In section 4 of that Act, in subsection (1) (events which give rise to balancing allowances and balancing charges), after paragraph (d) there shall be inserted the words.
In subsection (2) of that section (no balancing allowance or charge on second or subsequent events when the building or structure is not an industrial building or structure) after the words “and where two or more events there shall be inserted the words “falling within paragraphs (a) to (d) of subsection (1) above ”.
After that subsection there shall be inserted—
In subsection (9) of that section, in the definition of “the capital expenditure there shall be added at the end of paragraph (a) the words “ reduced by an amount equal to that of any balancing charge made in relation to that expenditure on the occurrence of an event falling within subsection (1)(e) above; ”.
At the end of subsection (10) of that section (balancing charge not to exceed allowances made) there shall be added the words “reduced by the amounts (if any) on which balancing charges in respect of the expenditure have been made on him for any such chargeable periods ”.
Writing off of expenditure and meaning of “residue of expenditure
In section 8 of that Act, for subsection (2) (initial allowances to be treated as written off when building or structure first used) there shall be substituted—
After subsection (12) of that section there shall be inserted—
In subsection (13) (application of subsections (1) to (12) to the Crown) for “(12) there shall be substituted “(12A) ”.
MACHINERY AND PLANT
Transitional relief for regional projects
In section 22 of that Act (first-year allowances: transitional relief for regional projects) after subsection (1) there shall be inserted—
After subsection (3) of that section there shall be inserted—
Writing-down allowances and balancing adjustments
In section 24 of that Act, after subsection (1) (expenditure on machinery or plant qualifying for writing-down allowances) there shall be inserted—
At the beginning of subsection (6) of that section (disposal value) there shall be inserted the words “Subject to subsection (7) below, ” and after that subsection there shall be inserted—
The disposal value
In section 26 of that Act (which defines the disposal value by reference to the event giving rise to it) in subsection (1), after paragraph (e) there shall be inserted—.
At the end of subsection (2) of that section (disposal value not to exceed expenditure on the provision of the machinery or plant for the purposes of the trade) there shall be added the words—
At the end of that section there shall be added—
Short-life assets
In section 37 of that Act, after subsection (4) (allowances for the notional trade to be given for the corresponding period of the actual trade) there shall be inserted—
In subsection (5) of that section (no disposal value brought into account before fourth anniversary) after the word “If there shall be inserted the words “disregarding section 24(7) ”.
Fixtures
Further restrictions on allowances
In section 75 of that Act (connected persons etc) in subsection (1) (provision by purchase of machinery or plant)—
after the words “in respect of the expenditure there shall be inserted the words “or any additional VAT liability incurred in respect of it ”; and
for the words “so much (if any) of the expenditure there shall be substituted the words “so much (if any) of the aggregate of the expenditure and any such additional VAT liability ”.
In subsection (2) of that section (contracts under which a person will or may become the owner of machinery or plant)—
after the words “so far as relating to that machinery or plant there shall be inserted the words “or in respect of any additional VAT liability incurred by him in respect of any such expenditure ”; and
for the words “so much (if any) of the expenditure there shall be substituted the words “so much (if any) of the aggregate of the expenditure and any such additional VAT liability ”.
In subsection (3) of that section (assignment of benefit of such contracts)—
after the words “consideration for the assignment there shall be inserted the words “or in respect of any additional VAT liability incurred by him in respect of any such expenditure ”; and
for the words “so much (if any) of the assignee’s expenditure there shall be substituted the words “so much (if any) of the aggregate of the assignee’s expenditure and any such additional VAT liability ”.
In subsection (4) of that section (application of subsections (2) and (3) in relation to section 75(2) and (3)) for the words “Subsections (2) and (3) there shall be substituted the words “Subsections (2), (2A), (2B) and (3) ”.
SCIENTIFIC RESEARCH
Deduction for additional VAT liability on capital expenditure
In section 137 of that Act (deductions for capital expenditure on scientific research) after subsection (1) there shall be inserted—
In subsection (3) of that section (relief where scientific building contains a dwelling to which not more than one quarter of the cost is referable) after the words “consists of a dwelling and there shall be inserted the words “,disregarding any additional VAT liability or rebate, ”.
Charge in respect of additional VAT rebate on capital expenditure
In section 138 of that Act, after subsection (2) (charge where asset ceases to belong to trader) there shall be inserted—
After subsection (3) of that section there shall be inserted—
At the end of that section there shall be added—
SUPPLEMENTARY PROVISIONS
General provisions about additional VAT liabilities and rebates
In section 159 of that Act, in subsection (2) (time when capital expenditure is incurred) after the words “capital expenditure there shall be inserted the words “(other than that constituted by an additional VAT liability) ” and after that section there shall be inserted—
RELIEF FOR COMPANY TRADING LOSSES
The Taxes Management Act 1970 (c. 9)
In section 86 of the Taxes Management Act 1970 (interest on overdue tax) after subsection (2) there shall be inserted—
The subsection (2A) inserted by sub-paragraph (1) above shall be omitted where the accounting period referred to in that subsection as the earlier period ends after the appointed day for the purposes of section 86 of the Finance (No.2) Act 1987 so far as relating to the omission of section 86(2)(d) of the Taxes Management Act 1970.
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The Income and Corporation Taxes Act 1988 (c. 1)
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In section 825 of that Act, in subsection (4) (restrictions on repayment supplement) after paragraph (b) there shall be added the words
In section 826 of that Act (interest on tax overpaid) after subsection (7) there shall be inserted—
In section 843 of that Act (commencement) in subsection (4) (exceptions in the case of certain provisions which include section 394) “394” shall be omitted.
In Schedule 5 to that Act (treatment of farm animals etc for purposes of Case I of Schedule D) in paragraph 2(3)(a) (election for herd basis to be valid only if made not later than two years after end of the first chargeable period in which relief under section 393(2) given etc) after “393(2)” there shall be inserted “or 393A(1) ”.
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In Schedule 30 to that Act (transitional provisions and savings) in paragraph 2 (duration of leases) in sub-paragraph (2)(a) (section 38 deemed to have effect as from passing of Finance Act 1963 in respect of relief under section 385 or 393) after “393” there shall be inserted the words “or 393A(1) ”.
The Capital Allowances Act 1990 (c. 1)
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Conditions for the charge
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The charge
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Construction of paragraph 1(1)(e)
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Test whether settlor has interest
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Exceptions to charge
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Right of recovery
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Meaning of “settlor”
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Meaning of “originating”
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Qualifying settlements, and commencement
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Information
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Introduction
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Qualifying amounts
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Matching capital payments
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Increased tax: the main rule
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More than one qualifying amount
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Payment partly ignored
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Parts of amounts matched
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Transfers between settlements
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Matching after transfer
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Computation rules
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Dual-resident settlements
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Payments by and to companies
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Beneficiaries
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Other amendments
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REPEALS
BETTING AND GAMING DUTIES
BEER DUTY
These repeals have effect in accordance with section 7 of this Act.
VEHICLES EXCISE DUTY: GENRAL
The repeals in section 4 of each of the Vehicles (Excise) Act 1971 ( “the 1971 Act) and the Vehicles (Excise) Act (Northern Ireland) 1972 ( “the 1972 Act) are deemed to have come into force on 20th March 1991.
The repeals of section 7(4) of each of the 1971 Act and the 1972 Act come into force on 1st October 1991.
The repeals of section 38(4) of, and Schedule 6 to, the 1971 Act, section 35(4) of, and Schedule 7 to, the 1972 Act and sections 5(6) and 6(7) of the Finance Act 1982, so far as relating to the application of those provisions for the purpose of section 4(1)(g) of either the 1971 Act or the 1972 Act, are deemed to have come into force on 20th March 1991.
The repeal in Schedule 2 to the Finance Act 1985, and the repeals mentioned in note 3 above so far as relating to the application of the repealed provisions for the purpose of any provision of the 1971 Act or the 1972 Act other than section 4(1)(g), have effect in relation to licences taken out after 20th March 1991.
VEHICLE EXCISE DUTY: NORTHERN IRELAND
These repeals have effect in accordance with section 10 of this Act.
INCOME TAX AND CORPORATION TAX
The repeal of section 78(4) of the Taxes Management Act 1970 and the repeal in Schedule 29 to the Income and Corporation Taxes Act 1988 have effect in accordance with section 81 of this Act.
The repeal in section 86 of the Taxes Management Act 1970 has effect in accordance with paragraph 1(2) of Schedule 15 to this Act.
The following repeals have effect in relation to losses incurred in accounting periods ending on or after 1st April 1991—
the repeal in Schedule 1 to the Capital Allowances Act 1990;
The following repeals have effect for the year 1991-92 and subsequent years of assessment—
the repeals of sections 354(3) and 726 of the Income and Corporation Taxes Act 1988;
the repeals in sections 367(1) and 737(2) of, and in Schedule 7 to, that Act;
the repeal of section 63 of the Finance Act 1989.
The repeals in section 465 of, and Schedule 15 to, the Income and Corporation Taxes Act 1988 apply in relation to policies issued in pursuance of contracts made on or after the day on which this Act is passed.
The repeal of section 590(5) and (6) of the Income and Corporation Taxes Act 1988 has effect in accordance with section 36 of this Act.
The repeals of sections 737(4) and 738(2) of the Income and Corporation Taxes Act 1988 have effect in accordance with section 58 of this Act.
The repeals in sections 2(1), 3(3) and 26(1) of the Capital Allowances Act 1990 have effect in relation to any chargeable period or its basis period ending on or after 6th April 1990.
The repeal of section 25(2)(h) of the Finance Act 1990 has effect in relation to gifts made on or after 19th March 1991.
CAPITAL GAINS
The repeals in sections 342 and 342A of the Income and Corporation Taxes Act 1970 and Schedule 17 to the Housing Act 1988 are deemed to have come into force on 1st December 1988.
The repeals of section 80(2) of the Finance Act 1980 and section 63(3) of the Finance Act 1984 have effect in relation to disposals on or after 19th March 1991.
The repeal in section 64 of the Finance Act 1984 has effect in accordance with section 98 of this Act.
STAMP DUTY
These repeals have effect in accordance with section 115 of this Act.
TRADING FUNDS