Finance (No. 2) Act 1997

Schedule 13 to the Taxes Act 1988 E+W+S+N.I.

16 (1) Schedule 13 to the Taxes Act 1988 shall be amended as follows. E+W+S+N.I.

(2) In paragraph 1 (duty to make returns), in sub-paragraph (1)—

(a) paragraph (b) (duty to make returns of foreign income dividends paid and received) shall cease to have effect;

(b) in paragraph (c), the words “and foreign income dividends paid” shall cease to have effect; and

(c) the words following paragraph (c) (construction of references to foreign income dividends) shall cease to have effect.

(3) In sub-paragraph (4) of that paragraph—

(a) the word “4A(2),”, and

(b) paragraph (b) and the word “and” immediately preceding it,

shall cease to have effect.

(4) In paragraph 2 (content of returns)—

(a) in sub-paragraph (1)—

(i) for “paragraphs 7(2), 3A(2) and 9A(2)” there shall be substituted “ paragraph 7(2) ”; and

(ii) paragraphs (d) to (f) (which require the return to include information in relation to foreign income dividends) shall cease to have effect; and

(b) sub-paragraphs (5) and (6) (which supplement paragraphs (e) and (f) of sub-paragraph (1)) shall cease to have effect.

(5) In paragraph 3 (payment of tax)—

(a) in sub-paragraph (1), the words “and foreign income dividends”, and

(b) in sub-paragraph (3), the words “or foreign income dividend”,

shall cease to have effect.

(6) Paragraphs 3A and 3B (which make provision in relation to international headquarters companies paying foreign income dividends) shall cease to have effect.

(7) In paragraph 4 (receipt of franked investment income after payment of advance corporation tax) in sub-paragraph (2) the words “or paid any foreign income dividends” shall cease to have effect.

(8) Paragraph 4A (receipt of foreign income dividends after payment of advance corporation tax) shall cease to have effect.

(9) Paragraph 6A (claims for set-off in respect of foreign income dividends received by a company) shall cease to have effect.

(10) In paragraph 7 (qualifying distributions which are not payments and payments of uncertain nature) in sub-paragraph (3) the words “and no foreign income dividend is paid” shall cease to have effect.

(11) Paragraph 9A (manufactured foreign income dividends) shall cease to have effect.

(12) Sub-paragraph (2) above has effect for accounting periods beginning on or after 6th April 1999.

(13) Sub-paragraphs (3) to (10) above have effect for return periods beginning on or after 6th April 1999.

(14) Sub-paragraph (11) above has effect in relation to manufactured dividends which are representative of dividends paid on or after 6th April 1999.