Income Tax Act 2007 (c. 3)

Part 15 U.K. Deduction of income tax at source

Modifications etc. (not altering text)

C1 Pt. 15 modified (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), ss. 551(4), 1329(1) (with Pts. 1, 2, Sch. 2 para. 78)

Chapter 2 U.K. Deduction by deposit-takers and building societies

Investments which are not relevant investments: non-UK resident beneficiaries U.K.

858 Declarations of non-UK residence: individuals U.K.

(1) This section applies to an investment with a deposit-taker or building society which meets the individual interest condition in section 856(3).

(2) The investment is not a relevant investment if—

(a) an appropriate person has made the declaration set out in subsection (3) to the deposit-taker or building society,

(b) the declaration contains the undertaking set out in subsection (4),

(c) the declaration contains the name and principal residential address of the individual or (as the case may be) each of the individuals entitled to the interest,

(d) the declaration contains such other information as the Commissioners for Her Majesty's Revenue and Customs may reasonably require, and

(e) the declaration is in such form as the Commissioners may prescribe or authorise.

(3) The declaration is that, at the time when the declaration is made—

(a) the person who is beneficially entitled to the interest is [F1 non-UK resident], or

(b) (as the case may be) all the persons who are so entitled are [F1 non-UK resident].

(4) The undertaking is an undertaking by the person making it to notify the person to whom it is made if any individual in respect of whom it is made becomes F2 ... UK resident.

(5) In this section “appropriate person” means—

(a) a person who is beneficially entitled to interest on the investment, or

(b) a person to whom any such interest is payable.

Textual Amendments

F1 Words in s. 858(3)(a)(b) substituted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by Finance Act 2013 (c. 29), Sch. 46 para. 68(1)(a) (with Sch. 46 para. 68(2))

F2 Word in s. 858(4) omitted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by virtue of Finance Act 2013 (c. 29), Sch. 46 para. 68(1)(b) (with Sch. 46 para. 68(2))

859 Declarations of non-UK residence: Scottish partnerships U.K.

(1) This section applies to an investment with a deposit-taker or building society which meets the Scottish partnership condition in section 856(4).

(2) The investment is not a relevant investment if—

(a) an appropriate person has made the declaration set out in subsection (3) to the deposit-taker or building society,

(b) the declaration contains the undertaking set out in subsection (4),

(c) the declaration contains the name and principal residential address of each of the partners,

(d) the declaration contains such other information as the Commissioners for Her Majesty's Revenue and Customs may reasonably require, and

(e) the declaration is in such form as the Commissioners may prescribe or authorise.

(3) The declaration is that, at the time when the declaration is made, all of the partners of the partnership are [F3 non-UK resident].

(4) The undertaking is an undertaking by the person making it to notify the person to whom it is made if any partner in respect of whom it is made becomes F4 ... UK resident.

(5) In this section “appropriate person” means—

(a) the partnership that is beneficially entitled to the interest on the investment, or

(b) a person to whom any such interest is payable.

Textual Amendments

F3 Words in s. 859(3) substituted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by Finance Act 2013 (c. 29), Sch. 46 para. 69(1)(a) (with Sch. 46 para. 69(2))

F4 Word in s. 859(4) omitted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by virtue of Finance Act 2013 (c. 29), Sch. 46 para. 69(1)(b) (with Sch. 46 para. 69(2))

860 Declarations of non-UK residence: personal representatives U.K.

(1) This section applies to an investment with a deposit-taker or building society which meets the personal representative condition in section 856(5).

(2) The investment is not a relevant investment if—

(a) an appropriate person has made the declaration set out in subsection (3) to the deposit-taker or building society,

(b) the declaration contains such information as the Commissioners for Her Majesty's Revenue and Customs may reasonably require, and

(c) the declaration is in such form as the Commissioners may prescribe or authorise.

(3) The declaration is that the deceased was [F5 non-UK resident] immediately before the deceased's death.

(4) In this section “appropriate person” means—

(a) any of the personal representatives who are entitled to receive interest on the investment, or

(b) a person to whom any such interest is payable.

Textual Amendments

F5 Words in s. 860(3) substituted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by Finance Act 2013 (c. 29), Sch. 46 para. 70(1) (with Sch. 46 para. 70(2))

861 Declarations of non-UK residence: settlements U.K.

(1) This section applies to an investment with a deposit-taker or building society which meets the settlement condition in section 856(6).

(2) The investment is not a relevant investment if—

(a) an appropriate person has made the declaration set out in subsection (3) to the deposit-taker or building society,

(b) the declaration contains the undertaking set out in subsection (4),

(c) the declaration contains such information as the Commissioners for Her Majesty's Revenue and Customs may reasonably require, and

(d) the declaration is in such form as the Commissioners may prescribe or authorise.

(3) The declaration is that, at the time when the declaration is made—

(a) the trustees who are entitled to the interest are non-UK resident (see section 475), and

(b) no person who is a trustee has reasonable grounds for believing that any beneficiary under the settlement is—

(i) an individual who is F6 ... UK resident,

(ii) a company which is UK resident, or

(iii) a Scottish partnership any of the partners of which is an individual who is F7 ... UK resident or a company which is UK resident.

(4) The undertaking is an undertaking by the person making it to notify the person to whom it is made if—

(a) the trustees become UK resident,

(b) an individual in respect of whom it is made becomes F8 ... UK resident,

(c) a company in respect of which it is made becomes UK resident,

(d) an individual partner in any Scottish partnership in respect of which it is made becomes F9 ... UK resident,

(e) a company partner in any Scottish partnership in respect of which it is made becomes UK resident,

(f) a partner who is [F10 a] UK resident individual or a UK resident company joins any Scottish partnership in respect of which it is made, or

(g) a person within any of sub-paragraphs (i) to (iii) of subsection (3)(b) becomes or is found to be a beneficiary under the settlement to which the declaration relates.

(5) In this section “appropriate person” means—

(a) any person who is a trustee entitled to receive interest on the investment, or

(b) a person to whom any such interest is payable.

(6) References in this section to a beneficiary under the settlement are to be construed in accordance with section 873(3) (meaning of “beneficiary under a discretionary or accumulation settlement”).

Textual Amendments

F6 Word in s. 861(3)(b)(i) omitted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by virtue of Finance Act 2013 (c. 29), Sch. 46 para. 71(2) (with Sch. 46 para. 71(4))

F7 Word in s. 861(3)(b)(iii) omitted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by virtue of Finance Act 2013 (c. 29), Sch. 46 para. 71(2) (with Sch. 46 para. 71(4))

F8 Word in s. 861(4)(b) omitted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by virtue of Finance Act 2013 (c. 29), Sch. 46 para. 71(3)(a) (with Sch. 46 para. 71(4))

F9 Word in s. 861(4)(d) omitted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by virtue of Finance Act 2013 (c. 29), Sch. 46 para. 71(3)(a) (with Sch. 46 para. 71(4))

F10 Word in s. 861(4)(f) substituted (with effect in accordance with Sch. 46 para. 72 of the amending Act) by Finance Act 2013 (c. 29), Sch. 46 para. 71(3)(b) (with Sch. 46 para. 71(4))

F11 862 Inspection of declarations U.K.

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Textual Amendments

F11 S. 862 omitted (13.8.2009) by virtue of The Finance Act 2009, Schedule 47 (Consequential Amendments) Order 2009 (S.I. 2009/2035), art. 1, Sch. para. 51