SCHEDULES

SCHEDULE 8 U.K.Insurance companies: basis of taxation etc

Part 1 U.K.Amendments

Capital Allowances Act 2001 (c. 2) U.K.

22 U.K.CAA 2001 is amended as follows.

23 U.K.In section 256(1) (different giving effect rules for different categories of business), for paragraph (b) substitute—

“(b) is charged to tax under the I minus E basis in respect of its life assurance business.”

24 U.K.In section 257(2) (life assurance: supplementary), for paragraphs (a) and (b) substitute—

“(a) section 85A(3) of the Finance Act 1989 (excess adjusted Case I profits), or

(b) section 89 of that Act (policy holders' share of profits).”