Amendments to the Income Tax Act 200714

1

The Income Tax Act 2007 is amended as follows.

2

In section 3119 (calculating total income), in subsection (2), after “the basic rate” insert “or the Scottish basic rate”.

3

In section 55B20 (entitlement to transferable tax allowance for married couples and civil partners)—

a

in paragraph (b) of subsection (2) after “the basic rate,” insert “the Scottish basic rate,”; and

b

in subsection (3) after “the basic rate” insert “or, in the case of a Scottish taxpayer, the Scottish basic rate”.

4

In section 55C (election to reduce personal allowance), in paragraph (c) of subsection (1), after “the basic rate,” insert “the Scottish basic rate,”.

5

In section 58 (meaning of “adjusted net income”), in subsection (2), at the end insert “or, in the case of a gift made by an individual who is a Scottish taxpayer for the tax year, by reference to the Scottish basic rate for the tax year”.

6

In section 41421 (relief for gifts to charity), in paragraph (a) of subsection (2) for “income tax at the basic rate, and” substitute—

income tax—

i

at the Scottish basic rate if the individual is a Scottish taxpayer for that tax year, or

ii

otherwise, at the basic rate, and

7

In section 415 (meaning of “grossed up amount”), at the end insert “, or, in the case of a gift made by an individual who is a Scottish taxpayer for that tax year, by reference to the Scottish basic rate for that tax year”.