Taxes Management Act 1970

[F1 Eligibility U.K.

Textual Amendments

F1 Sch. 3ZAA inserted (with effect in accordance with Sch. 7 para. 7 of the amending Act) by Finance Act 2019 (c. 1), Sch. 7 para. 2

2 (1) This paragraph applies where a person resident in an EEA state outside the United Kingdom is liable to pay an exit charge for a tax year by virtue of section 25(1) or (3) of the 1992 Act (deemed disposals by non-residents). U.K.

(2) The person is eligible to enter into a CGT exit charge payment plan in relation to any one or more of the assets to which the exit charge relates if—

(a) at the time of the event giving rise to the exit charge, the person had a right to freedom of establishment, or

(b) at any time after that event, the person carries on a trade in an EEA state other than the United Kingdom through a branch or agency and the asset or assets is or are—

(i) used in or for the purposes of that trade, or

(ii) used or held for the purposes of the branch or agency.

3 (1) This paragraph applies where the relevant trustees of a settlement are liable to pay an exit charge for a tax year by virtue of section 80 of the 1992 Act (charge on ceasing to be resident in the UK). U.K.

(2) The relevant trustees are eligible to enter into a CGT exit charge payment plan in relation to any one or more of the assets to which the exit charge relates if—

(a) at the time the trustees of the settlement ceased to be resident in the United Kingdom for the purposes of that section, they had a right to freedom of establishment,

(b) immediately before that time, the trustees of the settlement used the asset or assets for an economically significant activity carried on in the United Kingdom, and

(c) immediately after that time, those trustees—

(i) become resident in another EEA state for the purposes of the 1992 Act, and

(ii) use the asset or assets for an economically significant activity carried on there.]