Income Tax (Trading and Other Income) Act 2005

Taxation of Chargeable Gains Act 1992 (c. 12)

428 (1) Amend section 6 (rates of capital gains tax: special cases) as follows.

(2) In subsection (2)—

(a) in paragraph (a)—

(i) for “549(2) of the Taxes Act (gains under life policy or life annuity contract)” substitute “539 of ITTOIA 2005 (gains from contracts for life insurance etc)”, and

(ii) for “excess” substitute “extra”, and

(b) in paragraph (c), for “699(1) of that Act (income accruing before death)” substitute “669(1) and (2) of ITTOIA 2005 (reduction in residuary income: inheritance tax on accrued income)”.

(3) In subsection (3)—

(a) for “547(1)(a) of the Taxes Act (gains from insurance policies etc)” substitute “465 of ITTOIA 2005 (gains from contracts for life insurance etc)”,

(b) in paragraph (a) for “appropriate fraction within the meaning of section 550(3)” substitute “annual equivalent within the meaning of section 536(1) of that Act or (as the case may be) the total annual equivalent within the meaning of section 537”, and

(c) in paragraph (b)—

(i) for “550” substitute “535”,

(ii) for “required by section 550(2)(b)” substitute “under section 536(1) of that Act or (as the case may be) section 537 of that Act”, and

(iii) for “Schedule F” substitute “dividend”.