Finance Act 1995

42 After paragraph 9 of Schedule 19AC to the Taxes Act 1988 insert—

“9A In section 434A(1)—

(a) the words “UK distribution income” shall be treated as substituted for “franked investment income”, and

(b) the words “an overseas life insurance company” shall be treated as substituted for “a company resident in the United Kingdom”.

9B In section 434B the following subsection shall be treated as inserted after subsection (2)—

“(3) An overseas life insurance company shall not be entitled to treat as paid out of profits or gains brought into charge to income tax any part of the annuities paid by the company which is referable to its life assurance business.”.

9C In its application to an overseas life insurance company section 434D(4) shall have effect as if the references to liabilities were only to such liabilities as are attributable to the branch or agency in the United Kingdom through which the company carries on the business concerned.”.