Income Tax Act 2007 (c. 3)

SCHEDULES

SCHEDULE 1 U.K. Minor and consequential amendments

Part 2 U.K. Other enactments

Income Tax (Trading and Other Income) Act 2005 (c. 5) U.K.

536 (1) Amend section 535 (top slicing relief) as follows. U.K.

(2) After subsection (2) insert—

“(2A) If the relief is given by a reduction in income tax, it is given effect at Step 6 of the calculation in section 23 of ITA 2007.”

(3) In subsection (3)—

(a) for “LRL”, in both places where it occurs, substitute “ SRL ”, and

(b) for “lower rate” substitute “ savings rate ”.

(4) After subsection (6) insert—

“(7) For the purposes of the calculations mentioned in subsection (1) any relief under Chapter 2 or 3 of Part 8 of ITA 2007 (which relate to gift aid and other gifts to charities) is ignored.”