http://www.legislation.gov.uk/ukpga/2009/4/section/567Corporation Tax Act 2009An Act to restate, with minor changes, certain enactments relating to corporation tax; and for connected purposes.texttext/xmlenStatute Law Database2026-04-18Expert Participation2026-04-01 Part 6Relationships treated as loan relationships <Abbreviation Expansion="Et cetera" xml:lang="la">etc</Abbreviation>Chapter 11Investment life insurance contracts<Emphasis>Old accounting period contracts</Emphasis>Gains on deemed surrenders to be brought into account on related transactions5671Any gain which arose under Chapter 2 of Part 13 of ICTA (life policies etc) as a result of the deemed surrender (“the deemed gain”) is to be brought into account by the relevant company as a non-trading credit for the accounting period in which there is a related transaction (so far as not previously brought into account under this section).2But if the relevant company is still a party to the old contract immediately after the related transaction, only the relevant fraction of the deemed gain which would otherwise be brought into account under subsection (1) is to be so brought into account.3“The relevant fraction” is—PSARwhere—P is the amount payable as a result of the related transaction, andSAR is the amount which would have been payable on a surrender of all the rights under the old contract immediately before the related transaction.
Pt. 6 modified (for the tax year 2026-27 and subsequent tax years (but in relation to investment management services whenever performed)) by 2005 c. 5, Sch. A1 para. 35(7) (as inserted by Finance Act 2026 (c. 11), s. 58(6), Sch. 11 para. 1)