Amendments to the Income Tax (Trading and Other Income) Act 20058
1
The Income Tax (Trading and Other Income) Act 20059 is amended as follows.
2
In section 669(3)10 (reduction in residuary income: inheritance tax on accrued income), in paragraph (a), for “additional rate or the higher rate” substitute “applicable rate”.
3
After section 669(3) insert—
3A
For the purposes of subsection (3), the “applicable rate” means—
a
the additional rate,
b
the higher rate, or
c
in the case of a Scottish taxpayer, any Scottish rate above the Scottish basic rate.
4
In section 685A(3)11 (settlor-interested settlements) for “the Scottish additional rate” substitute “the highest Scottish rate”.