Part 12

Accrued income profits
Chapter 2

Accrued income profits and losses

Relief where transfer proceeds unremittable

Relief for unremittable transfer proceeds: general
668
1
This section applies if—
a
a person is liable for income tax on accrued income profits,
b
the profits are calculated by reference to payments treated as made to the person in an interest period,
c
the payments are so treated as a result of the person making transfers of foreign securities of a particular kind, and
d
the proceeds of the transfers are unremittable in the tax year.
2
If the person makes a claim for relief under this section—
a
the profits are reduced by the amount of the payments treated as made to the person, or
b
if that amount exceeds the profits, the profits are reduced to nil.
3
But see section 670 (withdrawal of relief).
4
In this section and section 669 “foreign securities” means securities which are situated outside the United Kingdom.
5
For the purposes of this section and sections 669 and 670, proceeds of transfers of foreign securities are unremittable in relation to a person if the person is prevented from transferring them to the United Kingdom because of—
a
the laws of the territory where the securities are situated,
b
executive action of its government, or
c
the impossibility of obtaining there currency that could be transferred to the United Kingdom.
6
For the purposes of this section the place where securities are situated is to be determined in accordance with sections 275(1) and (2)(b) and 275C of TCGA 1992.
7
Any claim under this section must be made on or before the fifth anniversary of the normal self-assessment filing date for the tax year for which the profits would be chargeable to tax if no claim were made.
8
A person’s personal representatives may make any claim under this section which the person might have made.