This is the original version (as it was originally enacted).
Section 2.
| Amount of payment | Rate of duty |
|---|---|
| Where the amount of the payment, excluding the amount of duty.— | |
| exceeds 1s. and does not exceed 1s. 1½d. | 1½d. |
| exceeds Is. 1½d. | 1½ d. for the first 1s. 1 ½ d. and ½ d. for every 1. or part of 1d over 1s. 1 ½ d. |
1Where the amount of the payment, excluding the amount of duty, is an amount mentioned in the following Table, the rate of duty shall be the amount therein specified in relation to that payment.
| Amount of payment, excluding amount of duty | Rate of duty | Amount of payment, excluding amount of duty | Rate of duty | Amount of payment, excluding amount of duty | Rate of duty | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| s. | d. | s. | d. | s. | d. | s. | d. | s. | d. | s. | d. |
| 8 ½ | ½ | 1 | 6 | 1 | 1 | 2 | 5 | 2 | 0 | ||
| 9 | 1 | 1 | 6 ¼ | 1 | 1 ¼ | 2 | 5 ¼ | 2 | 0 ¼ | ||
| 9 ½ | 1 ½ | 1 | 7 ½ | 1 | 1 ½ | 2 | 5 ¾ | 2 | 1 ¼ | ||
| 10 | 2 | 1 | 8 | 1 | 2 | 2 | 6 ¼ | 2 | 1 ¾ | ||
| 10 ½ | 2 ½ | 1 | 8 ½ | 1 | 2 ½ | 2 | 6 ¾ | 2 | 2 ¼ | ||
| 10 ¾ | 3 ¼ | 1 | 9 | 1 | 3 | 2 | 7 | 2 | 3 | ||
| 11 | 4 | 1 | 9 ½ | 1 | 3 ½ | 2 | 7 ½ | 2 | 3 ½ | ||
| 11 ½ | 4 ½ | 1 | 10 | 1 | 4 | 2 | 8 | 2 | 4 | ||
| 11 ¾ | 5 ¼ | 1 | 10 ¼ | 1 | 4 ¾ | 2 | 8 ½ | 2 | 4 ½ | ||
| 1 | 0 | 6 | 1 | 10 ¾ | 1 | 5 ¼ | 2 | 9 | 2 | 5 | |
| 1 | 0 ½ | 6 ½ | 1 | 11 | 1 | 6 | 2 | 9 ½ | 2 | 5 ½ | |
| 1 | 0 ¾ | 7 ¼ | 1 | 11 ½ | 1 | 6 ½ | 2 | 10 | 2 | 6 | |
| 1 | 1 | 8 | 2 | 0 | 1 | 7 | 2 | 10 ½ | 2 | 6 ½ | |
| 1 | 1 ½ | 8 ½ | 2 | 0 ¼ | 1 | 7 ¾ | 2 | 11 | 2 | 7 | |
| 1 | 1 ¾ | 9 ¼ | 2 | 0 ¾ | 1 | 8 ¼ | 2 | 11 ½ | 2 | 7 ½ | |
| 1 | 2 | 10 | 2 | 1 | 1 | 9 | 3 | 0 | 2 | 8 | |
| 1 | 2 ¼ | 10 ¾ | 2 | 1 ½ | 1 | 9 ½ | 3 | 0 ½ | 2 | 8 ½ | |
| 1 | 3 | 11 | 2 | 2 ¾ | 1 | 9 ¾ | 3 | 1 | 2 | 9 | |
| 1 | 3 ¾ | 11 ¼ | 2 | 3 | 1 | 10 | 3 | 1 ½ | 2 | 9 ½ | |
| 1 | 4 ½ | 11 ½ | 2 | 3 ½ | 1 | 10 ½ | 3 | 2 ¼ | 2 | 9 ¾ | |
| 1 | 5 | 1 | 0 | 2 | 4 | 1 | 11 | 3 | 3 | 2 | 10 |
| 1 | 5 ½ | 1 | 0 ½ | 2 | 4 1/2 | 1 | 11 ½ | 3 | 3 ¼ | 2 | 10 ¼ |
| 3 | 4 ½ | 2 | 10 ½ | 4 | 5 ¾ | 3 | 11 ¼ | 5 | 7 ½ | 4 | 11 ½ |
| 3 | 5 ¼ | 2 | 10 ¾ | 4 | 6 | 4 | 0 | 5 | 8 | 5 | 0 |
| 3 | 6 | 2 | 11 | 4 | 6 ½ | 4 | 0 ½ | 5 | 8 ½ | 5 | 0 ½ |
| 3 | 6 ½ | 2 | 11 ½ | 4 | 7 | 4 | 1 | 5 | 9 | 5 | 1 |
| 5 | 7 | 3 | 0 | 4 | 7 ½ | 4 | 1 ½ | 5 | 9 ½ | 5 | 1 ½ |
| 3 | 7 ½ | 3 | 0 ½ | 4 | 8 | 4 | 2 | 5 | 10 | 5 | 2 |
| 3 | 7 ¾ | 3 | 1 ¼ | 4 | 8 ½ | 4 | 2 ½ | 5 | 10 ½ | 5 | 2 ½ |
| 3 | 8 ¼ | 3 | 1 ¾ | 4 | 9 | 4 | 3 | 5 | 11 | 5 | 3 |
| 3 | 8 ¾ | 3 | 2 ¼ | 4 | 9 ½ | 4 | 3 ½ | 5 | 11 ½ | 5 | 3 ½ |
| 3 | 9 | 3 | 3 | 4 | 10 | 4 | 4 | 6 | 0 | 5 | 4 |
| 3 | 9 ½ | 3 | 3 ½ | 4 | 10 ½ | 4 | 4 ½ | 6 | 0 ¾ | 5 | 4 ¼ |
| 3 | 10 | 3 | 4 | 4 | 11 | 4 | 5 | 6 | 1 ½ | 5 | 4 ½ |
| 3 | 10 ½ | 3 | 4 ½ | 4 | 11 ½ | 4 | 5 ½ | 6 | 2 ¼ | 5 | 4 ¾ |
| 3 | 11 | 3 | 5 | 5 | 0 | 4 | 6 | 6 | 3 | £ | 5 |
| 3 | 11 ½ | 3 | 5 ½ | 5 | 0 ¾ | 4 | 6 ¼ | 6 | 3 ¾ | 5 | 5 ¼ |
| 4 | 0 | 3 | 6 | 5 | 1 ¼ | 4 | 6 ¾ | 6 | 4 ½ | 5 | 5 ½ |
| 4 | 0 ¾ | 3 | 6 ¼ | 5 | 1 ¾ | 4 | 7 ¼ | 6 | 5 ¼ | 5 | 5 ¾ |
| 4 | 1 ¼ | 3 | 6 ¾ | 5 | 2 ½ | 4 | 7 ½ | 6 | 6 | 5 | 6 |
| 4 | 2 | 3 | 7 | 5 | 3 | 4 | 8 | 6 | 6 ½ | 5 | 6 ½ |
| 4 | 2 ½ | 3 | 7 ½ | 5 | 3 ½ | 4 | 8 ½ | 6 | 6 ¾ | 5 | 7 ¼ |
| 4 | 3 | 3 | 8 | 5 | 4 ¼ | 4 | 8 ¾ | 6 | 7 | 5 | 8 |
| 4 | 3 ½ | 3 | 8 ½ | 5 | 4 ¾ | 4 | 9 ¼ | 6 | 7 ½ | 5 | 8 ½ |
| 4 | 4 | 3 | 9 | 5 | 5 ¼ | 4 | 9 ¾ | 6 | 7 ¾ | 5 | 9 1/4 |
| 4 | 4 ½ | 3 | 9 ½ | 5 | 6 | 4 | 10 | 6 | 8 | 5 | 10 |
| 4 | 4 ¾ | 3 | 10 ¼ | 5 | 6 ½ | 4 | 10 ½ | ||||
| 4 | 5 ¼ | 3 | 10 ¾ | 5 | 7 | 4 | 11 | ||||
2Where the amount of the payment, excluding the amount of duty, is an amount not specified in the foregoing Table, and exceeds eight-pence but does not exceed six shillings and eightpence, the rate of duty shall be the same as on a payment of the next higher amount specified in the Table.
3Where the amount of the payment, excluding the amount of duty, exceeds six shillings and eightpence, the rate of duty shall be five shillings and tenpence increased by a halfpenny for every halfpenny or part of a halfpenny by which the amount of the payment exceeds six shillings and eightpence.
Section 6.
| Article | General Preferential Reduction | |
|---|---|---|
| s. | d. | |
| Sugar of a polarisation exceeding 99° the cwt. | 5 | 10 |
| sugar of a polarisation exceeding— | ||
| 98° but not exceeding 99° the cwt. | 6 | 10.8 |
| 97° but not exceeding 98° the cwt. | 3 | 11.3 |
| 96° but not exceeding 97° the cwt. | 3 | 10.0 |
| 95° but not exceeding 06° the cwt. | 3 | 8.8 |
| 94° but not exceeding 95° the cwt. | 3 | 7.6 |
| 93° but not exceeding 94° the cwt. | 3 | 6.3 |
| 92° but not exceeding 93° the cwt. | 3 | 5.1 |
| 91° but not exceeding 92° the cwt. | 3 | 3.9 |
| 90° but not exceeding 91° the cwt. | 3 | 2.6 |
| 89° but not exceeding 90° the cwt. | 3 | 1.4 |
| 88° but not exceeding 89° the cwt. | 3 | 0.2 |
| 87° but not exceeding 88° the cwt. | 2 | 11.1 |
| 86° but not exceeding 87° the cwt. | 2 | 10.1 |
| 85° but not exceeding 86° the cwt. | 2 | 9.2 |
| 84° but not exceeding 85° the cwt. | 2 | 8.3 |
| 83° but not exceeding 84° the cwt. | 2 | 7.3 |
| 82° but not exceeding 83° the cwt. | 2 | 6.4 |
| 81° but not exceeding 82° the cwt. | 2 | 5.6 |
| 80° but not exceeding 81° the cwt. | 2 | 4.8 |
| 79° but not exceeding 80° the cwt. | 2 | 4.0 |
| 78° but not exceeding 79° the cwt. | 2 | 3.1 |
| 77° but not exceeding 78° the cwt. | 2 | 2.3 |
| 76° but not exceeding 77° the cwt. | 2 | 1.5 |
| Sugar of a polarisation not exceeding 76° the cwt. | 2 | 0 ½ |
| Molasses:— | ||
| it containing— | ||
| 70 per cent. or more of sweetening matter the cwt. less than 70 per cent. and more than 50 the cwt. | 3 | 8 ½ |
| per cent. of sweetening matter the cwt. | 2 | 8 |
| not more than 50 per cent. of sweetening matter the cwt. | 1 | 3 ½ |
| Glucose— | ||
| Solid. the cwt. | 3 | 8 ½ |
| Liquid the cwt. | 2 | 8 |
| Saccharin (including substances of a like nature or use) the oz. | 1 | 10 ½ |
Sections 8, 11.
1(1)The following provisions (which relate to utility articles) shall be omitted, that is to say:—
(a)paragraphs (b), (c) and (d) of Group 1;
(b)paragraph (d) of Group 2;
(c)paragraph (d) of Group 3;
(d)paragraph (c) of Group 4;
(e)paragraph (b) of Group 5;
(f)paragraph (b) of Group 6;
(g)paragraph (e) of Group 11.
(2)In paragraph (c) of Group 2 and in paragraph (c) of Group 3 for the words " other than those comprised in paragraphs (b) or (d) of this Group" there shall in each case be substituted the words " other than those comprised in paragraph (b) of this Group ".
(3)In paragraph (d) of Group 5, as amended by paragraph 2 of the Fifth Schedule to the Finance Act, 1951, there shall be omitted the words " utility articles or ".
2In paragraph (f) of Group 1 for the words " other than those comprised in paragraphs (c) or (e) of this Group " there shall be substituted the words " other than articles comprised in paragraph (e) of this Group, and other than garments merely trimmed with fur skin in the case of which the trimming of fur skin neither represents a cost to the manufacturer of the garment greater than the cost to him of the other components nor has an area greater than one-fifth of the area of the outside material "; and in paragraph (f) of that Group for the words " other than articles made wholly or partly of fur skin (including any skin with fur, hair or wool attached)" there shall be substituted the words " other than articles comprised in paragraph (e) or (f) of this Group ".
Section 9.
NOTE.—In this Schedule—
the expression " Class A material" means textile material containing more than 15 per cent. by weight of fibre (whether or not subjected to any process of manufacture or recovery) from the coat or fleece of alpaca, camel, goat, hare, lamb, llama, rabbit, sheep, vicuna or yak, or of horsehair;
the expression " Class B material" means material other than Class A material and other than fur skin;
the expression "Class C material" means cloth of which the textile content comprises not less than 80 per cent. by weight of flax;
the expression " fur skin " includes any skin with fur, hair or wool attached;
any reference to things " of" any material refers, unless the context otherwise requires, to things made wholly or mainly of that material, any lining or interlining being disregarded, except that anything fully-lined with fur skin is to be treated as being of fur skin.
| Description of article | Amount not chargeable | ||
|---|---|---|---|
| £ | s. | d. | |
| A.—Articles of men's or boys' wear of any of the following descriptions: | |||
| 1. Overcoats, cloaks and raincoats, being garments exceeding 42" in length: | |||
| (a) of Class A material, fully-lined or lined at least down to the waist (including the sleeves, if any), or of sheepskin | 6 | 10 | 0 per article |
| (b) of Class A material, not so lined | 2 | 5 | 0 per article |
| 2. Overcoats, cloaks, raincoats, mackintosh coats, oilskin coats, fishermen's oilskin frocks and overall coats, being garments exceeding 42" in length and of Class B material: | |||
| (a) fully-lined | 4 | 15 | 0 per article |
| (b) of double-texture cloth and not fully-lined | 3 | 10 | 0 per article |
| (c) not of double-texture cloth nor fully-lined | 2 | 5 | 0 per article |
| 3. Coats, cloaks and overall coats, being garments not exceeding 42" in length, jackets (not including blouse-type jackets or pyjama jackets), blazers, overall jackets, waterproof capes and fishermen's oilskin skirts: | |||
| (a) of Class A material, fully-lined, or of sheepskin | 4 | 0 | 0 per article |
| (b) of Class A material, not fully-lined ... | 2 | 5 | 0 per article |
| (c) of Class B material, fully-lined or of double-texture cloth......... | 2 | 0 | 0 per article |
| (d) of Class B material, but not of double-texture cloth nor fully-lined...... | 1 | 5 | 0 per article |
| 4. Blouse-type jackets, waistcoats, cardigans, jerseys, sweaters, pullovers, slip-overs and bed-jackets | 1 | 1 | 0 per article |
| 5. Trousers (not including pyjama trousers), overall trousers, oilskin trousers, plus-fours, breeches, jodhpurs, kilts and bib-and-brace overalls: | |||
| (a) of Class A material. | 2 | 5 | 0 per article |
| (b) of Class B material . | 1 | 15 | 0 per article |
| 6. Shorts and knickers: | |||
| (a) of Class A material | 1 | 12 | 0 per article |
| (b) of Class B material | 10 | 0 per article | |
| 7. Thigh-length leggings: | |||
| (a) of double-texture cloth. | 1 | 3 | 0 per pair 6 per article) |
| (b) not of double-texture cloth | 15 (7 | 0 per pair 6 per article) | |
| 8. Shirts (with or without collar attached) | 17 | 6 per article | |
| 9. Shirt collars and shirt neckbands. | 1 | 9 per article | |
| 10. Dressing-gowns and bath-robes: | |||
| (a) of Class A material | 3 | 15 | 0 per article |
| (b) of Class B material | 2 | 0 | 0 per article |
| 11. Aprons (with or without bib): | |||
| (a) of leather, rubber or asbestos | 1 | 10 | 0 per article |
| (b) of material other than leather, rubber and asbestos | 12 | 0 per article | |
| 12. Overall boiler suits, overall gowns and overall smocks, being garments exceeding 42" in length. | 2 | 5 | 0 per article |
| 13. Pyjama jackets and pyjama trousers | 10 | 0 per article | |
| 14. Nightshirts | 1 | 0 | 0 per article |
| 15. Undervests, singlets, pants, trunks and drawers: | |||
| (a) of Class A material . | 14 | 0 per article | |
| (b) of Class B material | 4 | 0 per article | |
| 16. Combinations: | |||
| (a) of Class A material | 1 | 5 | 0 per article |
| (b) of Class B material | 7 | 0 per article | |
| 17. Bathing costumes, bathing trunks and swimming drawers : | |||
| (a) of Class A material.. | 10 | 0 per article | |
| (b) of Class B material | 2 | 0 per article | |
| 18. Stockings and socks: | |||
| (a) of Class A material | 5 | 6 per pair | |
| (2 | 9 per article) | ||
| (b) of Class B material | 2 | 6 per pair | |
| (1 | 3 per article) | ||
| 19. Boots and bootees | 3 | 0 | 0 per pair |
| (1 | 10 | 0 per article) | |
| 20. Shoes (including sandals, but not including slippers): | |||
| (a) with uppers of leather | 2 | 0 | 0 per pair |
| (1 | 0 | 0 per article) | |
| (b) of rubber or with moulded rubber soles and uppers of fabric | 15 | 0 per pair | |
| (7 | 6 per article) | ||
| (c) of any other description | 1 | 5 | 0 per pair |
| 1 | (12 | 6 per article) | |
| 21. Slippers | 1 | 5 | 0 per pair |
| 1 | (12 | 6 per article) | |
| 22. Articles of headgear, of woven cloth, being either articles suitable only for infants' wear or caps, berets, sou'westers or industrial hats, and articles of headgear of knitted cloth or wholly or mainly knitted | 8 | 0 per article | |
| 23. Gloves: | |||
| (a) articles which apart from any stitchings, fastenings or trimmings are wholly knitted or made wholly of woven or knitted cloth | 3 | 0 per pair | |
| (1 | 6 per article) | ||
| (b) articles of any other description | 12 | 0 per pair | |
| (6 | 0 per article) | ||
| 24. Scarves, knitted or woven: | |||
| (a) of Class A material | 10 | 0 per article | |
| (b) of Class B material | 3 | 0 per article | |
| 25. Braces | 4 | 0 per article | |
| B.—Articles of women's or girls' wear of any of the following descriptions: | |||
| 1. Overcoats, coats, cloaks and raincoats, being garments exceeding 42" in length: | |||
| (a) of fur skin | 12 | 0 | 0 per article |
| (6) of Class A material | 6 | 10 | 0 per article |
| 2. Overcoats, coats, cloaks, capes (but not including cycling capes), raincoats and mackin-tosh coats, being garments exceeding 42" in length and of Class B material: | |||
| (a) fully-lined | 4 | 0 | 0 per article |
| (b) of double-texture cloth and not fully-lined | 3 | 0 | 0 per article |
| (c) not of double-texture cloth nor fully-lined | 2 | 0 | 0 per article |
| 3. Jackets (not includingblouse-typejackets or pyjama jackets), blazers, coats, cloaks, capes (not including cycling capes') and overalls with sleeves, being garments exceeding 20" in length but not exceeding 42" in length; cycling capes exceeding 20" in length, waistcoats with sleeves, blouses, shirt-blouses, shirts (with or without collar attached), cardigans of woven or knitted cloth and jumpers of woven or knitted cloth: | |||
| (a) of fur skin | 8 | 0 | 0 per article |
| (b) of Class A material, fully-lined | 4 | 0 | 0 per article |
| (c) of Class A material, not fully-lined | 2 | 0 | 0 per article |
| (d) of Class B material, fully-lined or of double-texture cloth | 1 | 15 | 0 per article |
| (e) of Class B material, but not of double-texture cloth nor fully-lined | 16 | 0 per article | |
| 4. Boleros, jackets and capes, being garments not exceeding 20" in length: | |||
| (a) of fur skin | 4 | 10 | 0 per article |
| (b) of any other description | 1 | 0 | 0 per article |
| 5. Blouse-type jackets, sleeveless waistcoats, knitted jumpers, knitted cardigans, jerseys, sweaters and bed-jackets; | 1 | 0 | 0 per article |
| 6. Skirts, kilts, divided skirts, shorts, slacks, breeches, jodhpurs and bib-and-brace overalls: | |||
| (a) of Class A material | 2 | 0 | 0 per article |
| (b) of Class B material | 1 | 5 | 0 per article |
| 7. Dresses, pinafore-dresses, gym tunics, housecoats, dressing-gowns and bath-robes: | |||
| (a) of Class A material | 3 | 15 | 0 per article |
| (b) of Class B material | 2 | 0 | 0 per article |
| 8. Overalls exceeding 42" in length, boiler suits and overall gowns | 2 | 0 | 0 per article |
| 9. Aprons (with or without bib) and pinarettes | 5 | 0 per article | |
| 10. Shirt collars and shirt neckbands | 1 | 9 per article | |
| 11. Pyjama jackets and pyjama trousers | 10 | 0 per article | |
| 12. Nightdresses | 15 | 0 per article | |
| 13. Slips, petticoats and cami-knickers | 8 | 6 per article | |
| 14. Undervests, spencers, camisoles and bodices: | |||
| (a) of Class A material | 9 | 0 per article | |
| (b) of Class B material | 3 | 0 per article | |
| 15. Knickers, pantees and briefs: | |||
| (a) of Class A material | 6 | 0 per article | |
| (b) of Class B material | 4 | 0 per article | |
| 16. Combinations: | |||
| (a) of Class A material | 1 | 0 | 0 per article |
| (b) of Class B material | 7 | 0 per article | |
| 17. Corsets (not including roll-on elastic belts) and corselettes | 1 | 0 | 0 per article |
| 18. Brassieres, suspender belts and roll-on elastic belts | 5 | 6 per article | |
| 19. Bathing costumes (including two-piece and three-piece bathing costumes) | 11 | 6 per costume | |
| 20. Stockings and three-quarter hose: | |||
| (a) of Class A material | 5 | 6 per pair | |
| (2 | 9 per article) | ||
| (b) of Class B material | 3 | 6 per pair | |
| (1 | 9 per article) | ||
| 21. Ankle socks: | |||
| (a) of Class A material | 2 | 0 per pair | |
| (1 | 0 per article) | ||
| (b) of Class B material | 1 | 3 per pair | |
| (7½ per article) | |||
| 22. Boots and bootees | 3 | 0 | 0 per pair |
| (1 | 10 | 0 per article) | |
| 23. Shoes (including sandals and slippers): | |||
| (a) with uppers of leather | 1 | 17 | 0 per pair |
| (18 | 6 per article) | ||
| (b) of rubber or with moulded rubber soles and uppers of fabric. | 15 | 0 per pair | |
| (7 | 6 per article) | ||
| (c) of any other description . | 1 | 8 | 0 per pair |
| (14 | 0 per article) | ||
| 24. Articles of headgear, of woven cloth, being either articles suitable only for infants' wear or articles forming part of a matching set with a coat not exceeding 42" in length or caps, berets, hoods, sou'westers or industrial hats, and articles of headgear of knitted cloth or wholly or mainly knitted | 8 | 0 per article | |
| 25. Gloves: | |||
| (a) articles which apart from any stitchings, fastenings or trimmings are wholly knitted or made wholly of woven or knitted cloth | 3 | 0 per pair | |
| (1 | 6 per article) | ||
| (b) articles of any other description | 1 | 12 | 0 per pair |
| (6 | 0 per article) | ||
| 26. Scarves and shawls, being knitted of woven articles: | |||
| (a) of Class A material | 1 | 0 | 0 per article |
| (b) of Class B material | 3 | 0 per article | |
| 27. Fur stoles containing not less than 2 sq.- ft. of fur skin measured on the leather | 4 | 10 | 0 per article |
| C.—Handkerchiefs of the following descriptions: | |||
| 1. Handkerchiefs of Class C material: | |||
| (a) exceeding 256 square inches in area | 1 | 6 per article | |
| (b) not exceeding 256 square inches in area | 9 per article | ||
| 2. Handkerchiefs of material other than Class C material: | |||
| (a) exceeding 256 square inches in area | 1 | 0 per article | |
| (b) not exceeding 256 square inches in area | 6 per article | ||
| Description of article | Amount not chargeable | ||
|---|---|---|---|
| £ | s. | d. | |
| 1. Cloth exceeding 3" in width, in the piece or in cut lengths, including cloth which has been dyed, printed, coated or otherwise treated: | |||
| (a) Class A material | 14 | 6 per sq. yd. | |
| (b) Class C material | 6 | 0 per sq. yd. | |
| (c) Class B material of a weight per square yard, exclusive of non - permanent loading, of not less than 6 ozs., other than Class C material | 6 | 0 per sq. yd. | |
| (d) Class B material not of such a weight as aforesaid, other than Class C material | 4 | 0 per sq. yd. | |
| 2. Plastic sheeting, in the piece or in cut lengths | 4 | 0 per sq. yd. | |
| 3. Blankets, travelling rugs, pram rugs, bed-spreads, counterpanes (not including filled quilts), curtains and curtain panels: | |||
| (a) of Class A material | 14 | 6 per sq. yd. | |
| (b) of Class C material | 6 | 0 per sq. yd. | |
| (c) of Class B material of a weight per square yard, exclusive of non-per-manent loading, of not less than 6 ozs., other than Class C material | 6 | 0 per sq. yd. | |
| (d) of Class B material not of such a weight as aforesaid, other than Class C material | 4 | 0 per sq. yd. | |
| 4. Bed sheets, table cloths and table covers: | |||
| (a) of Class A material | 14 | 6 per sq. yd. | |
| (b) of Class C material | 6 | 0 per sq. yd. | |
| (c) of Class B material of a weight pei square yard, exclusive of non-per-manent loading, of not less than 6 ozs., other than Class C material | 6 | 0 per sq. yd. | |
| (d) of Class B material not of such a weight as aforesaid, other than Class C material | 4 | 0 per sq. yd. | |
| 5. Pillows | 10 | 0 per article | |
| 6. Bolsters: | |||
| (a) not less than 45" in length | 1 | 0 | 0 per article |
| (b) less than 45" in length | 15 | 0 per article | |
| 7. Overlay mattresses, soft filled: | |||
| (a) not less than 45" in width | 7 | 10 | 0 per article |
| (b) less than 45" in width | 5 | 0 | 0 per article |
| 8. Upholstered overlay mattresses with spring or cellular rubber interior (not including box-spring mattresses or spring-bases): | |||
| (a) not less than 45" in width | 10 | 10 | 0 per article |
| (b) less than 45" in width | 7 | 10 | 0 per article |
| 9. Filled quilts: | |||
| (a) not less than 53" in width | 2 | 10 | 0 per article |
| (b) less than 53" in width | 2 | 0 | 0 per article |
| 10. Pillowcases: | |||
| (a) of Class C material | 6 | 0 per article | |
| (b) of other material | 4 | 0 per article | |
| 11. Bolster cases of Class C material: | |||
| (a) not less than 53" in length | 16 | 6 per article | |
| (b) less than 53" in length | 10 | 6 per article | |
| 12. Bolster cases of material other than Class C material: | |||
| (a) not less than 53" in length | 11 | 0 per article | |
| (b) less than 53" in length | 7 | 0 per article | |
| 13. Pillow ticks | 3 | 6 per article | |
| 14. Mattress ticks: | |||
| (a) not less than 45" in width | 1 | 10 | 0 per article |
| (b) less than 45" in width | 1 | 0 | 0 per article |
| 15. Table napkins, tray cloths and table mats, being articles not exceeding ½ square yard in area: | |||
| (a) of Class C material | 3 | 0 per article | |
| (b) of other material | 2 | 0 per article | |
| 16. Towels and tea towels, being articles of Class C material, and terry towels of other material: | |||
| (a) exceeding 1 square yard in area | 7 | 6 per article | |
| (b) exceeding ½ square yard but not exceed-ing 1 square yard in area | 5 | 3 per article | |
| (c) not exceeding ½ square yard in area | 3 | 0 per article | |
| 17. Towels (not including terry towels) and tea towels, being articles of material other than Class C material: | |||
| (a) exceeding 1 square yard in area | 5 | 0 per article | |
| (b) exceeding ½ square yard but not exceed-ing 1 square yard in area | 3 | 6 per article | |
| (c) not exceeding ½ square yard in area | 2 | 0 per article | |
1(1)As respects the period up to the end of the thirteenth day of May, nineteen hundred and fifty-two, Part I of this Schedule shall be modified as follows.
(2)In the division relating to men's or boys' wear, for paragraph 19 there shall be substituted the following paragraph:—
| “19. Boots and bootees: | |||
| (a) articles which are either unlined or lined only with cotton fabric or leather, and are not made wholly or partly of fur or imitation fur | 3 | 0 | 0 per pair |
| (1 | 10 | 0 per article) | |
| (b) articles of any other description | 2 | 0 | 0 per pair |
| (1 | 0 | 0 per article)”; |
and in paragraph 21 for the amounts specified in the second column there shall be substituted 15s. 0d. per pair (7s. 6d. per article).
(3)In the division relating to women's or girls' wear, for paragraph 22 there shall be substituted the following paragraph:—
| “22. Boots and bootees: | |||
| (a) articles which are either unlined or lined only with cotton fabric or leather, and are not made wholly or partly of fur or imitation fur | 3 | 0 | 0 per pair |
| (1 | 10 | 0 per article) | |
| (b) articles of any other description | 1 | 17 | 0 per pair |
| (18 | 6 per article)”. |
(4)In the division relating to women's or girls' wear, the following substitutions shall be made in the amounts specified in the second column:—
(a)in sub-paragraph (a) of paragraph 1, for £12 0 0 substitute £6 10 0;
(b)in sub-paragraph (o) of paragraph 3, for £8 0 0 substitute £4 0 0;
(c)in sub-paragraph (a) of paragraph 4, for £4 10 0 substitute £1 0 0;
(d)in paragraph 27, for £4 10 0 substitute £1 0 0.
2(1)As respects the period up to the end of the second day of June, nineteen hundred and fifty-two, Part II of this Schedule shall be modified by substituting 4s. 0d. per square yard for 6s. 0d. per square yard in the second column in sub-paragraphs (b) and (c) of paragraph 1, sub-paragraphs (b) and (c) of paragraph 3 and sub-paragraph (c) of paragraph 4.
(2)As respects the period beginning with the third day of June, nineteen hundred and fifty-two, and ending with the seventeenth day of that month the said Part II shall also be modified by inserting in sub-paragraph (b) of paragraph 1 and in sub-paragraph (b) of paragraph 3 after the words " Class C material " the words " of a weight per square yard, exclusive of non-permanent loading, of not less than 6 ozs.", and by omitting in sub-paragraph (d) of those paragraphs the words " other than Class C material ".
Sections 20, 21.
1In this Schedule—
" Part X " means Part X of the Income Tax Act, 1952 ;
" Chapter III " means Chapter III of Part X ;
" relevant expenditure " means expenditure to which Chapter III applies by virtue of section twenty or twenty-one of this Act (" relevant expenditure on machinery or plant" meaning relevant expenditure to which section twenty of this Act applies and " relevant expenditure on land " expenditure to which section twenty-one of this Act applies).
2In relation to any relevant expenditure—
(a)references to the appointed day in Part X and in this Schedule shall be deemed to be references to the sixth day of April, nineteen fifty-two ; and
(b)Part III of the Twelfth Schedule to the Income Tax Act, 1952, shall not apply; and
(c)references in Part II of that Schedule to the expenditure to which Chapter III applies shall be taken as referring only to relevant expenditure ; and
(d)in applying sub-paragraph (b) of paragraph 5 of the said Part II, there shall be left out of account, in the case of relevant expenditure on machinery or plant, any output from the source before the machinery or plant was used in connection with the source and, in the case of relevant expenditure on land, any output from the source before the trader acquired the land.
3(1)Where machinery or plant used by any person in searching for, or discovering and testing the mineral deposits of any source, or winning access thereto, either—
(a)is not sold, demolished or destroyed before the source is worked in the course of a trade ; or
(b)before being sold, demolished or destroyed as aforesaid, or before being used as aforesaid, is used by him for some other purpose;
then of the capital expenditure incurred by him on the machinery or plant so much only shall be treated for the purposes of Chapter III as incurred in connection with that source as in the opinion of the Commissioners having jurisdiction in the matter does not exceed the amount of the diminution in the value of the machinery or plant attributable to its use in searching for, discovering and testing and winning access to the deposits of that source, and the remainder shall not be treated as relevant expenditure by reason of the use of the machinery or plant in connection with that source.
(2)In the case of machinery or plant used in searching for, or discovering and testing, or winning access to the deposits of more than one source the aggregate amount of the expenditure treated under this paragraph as incurred by any person in connection with those sources shall not exceed the total amount of the expenditure incurred by him on the machinery or plant.
4(1)Where a person carrying on a trade which consists of or includes the working of any mine, oil well or other source of mineral deposits of a wasting nature has incurred relevant expenditure on machinery or plant for the purposes of that trade, then for the purposes of Chapter III, any sale, insurance, salvage or compensation moneys in respect of the machinery or plant shall—
(a)if by virtue of the last foregoing paragraph the relevant expenditure is not the whole of the capital expenditure incurred by him on the machinery or plant, be disregarded except in so far as they exceed the difference between the said capital expenditure and the relevant expenditure on the machinery or plant;
(b)subject to paragraph (a) of this sub-paragraph, if the relevant expenditure on the machinery or plant was incurred in connection with more than one source, be apportioned between the sources in such manner as appears to the Commissioners having jurisdiction in the matter to be appropriate.
(2)The deductions to be made under subsection (5) of section three hundred and seven of the Income Tax Act, 1952, in respect of any machinery or plant shall not, in the case of any source, exceed the amount of the relevant expenditure on the machinery or plant incurred in connection with that source.
(3)In the Fourteenth Schedule to the Income Tax Act, 1952 (which modifies Part X in relation to certain sales not made at arm's length), references to machinery or plant shall not apply in the case of machinery or plant which for the seller of the machinery or plant is an asset representing relevant expenditure.
5(1)Where—
(a)a person incurs or has incurred in connection with any source of mineral deposits any such expenditure as is mentioned in subsection (1) of section twenty-one of this Act; and
(b)the land acquired by him had previously been acquired by some other person, being, or being a body corporate or partnership under the control of, a person resident in the United Kingdom, and had been so acquired either for use in connection with the working of that source or for the purpose of a trade consisting of or including the buying and selling of land containing mineral deposits ; and
(c)the case is not one to which subsection (7) of section three hundred and eight of the Income Tax Act, 1952, applies;
that expenditure shall not be treated as relevant expenditure so far as it exceeds the capital expenditure incurred by the said other person in acquiring the land :
Provided that, where the source in question has been worked between the dates of the two acquisitions, the said capital expenditure of the said other person shall be treated for the purposes of this sub-paragraph as reduced so as to bear to the full amount thereof—
(i)in a case where the said expenditure of the first-mentioned person is incurred on or after the appointed day, the same proportion as the 'total potential future output from the source estimated as at the later of those dates, bears to' the said total potential future output plus the actual output from the source between those dates ; or
(ii)in a case where the said expenditure of the first-mentioned person was incurred before the appointed day, the same proportion as the actual total output from the source from the later of those dates to the appointed day, plus the total potential future output from the source, estimated as at the appointed day, bears to the actual total output from the source from the earlier of those dates up to the appointed day plus the said total potential future output.
(2)In the cases specified in this sub-paragraph, the foregoing sub-paragraph shall have effect subject to the following provisions:—
(a)if there has been more than one acquisition to which paragraph (b) of that sub-paragraph applies, regard shall be had only to the first of those acquisitions ;
(b)where the person making the acquisition to which the said paragraph (b) applies (or, if there has been more than one such acquisition, the one to which regard is to be had) carried on a trade consisting of or including the buying and selling of land containing mineral deposits, references to capital expenditure shall, in relation to him, be taken to include expenditure which would have been capital expenditure if his trade had, been the working of the source in question and had not included such buying and selling as aforesaid ;
(c)in computing the expenditure of the person making the said acquisition, liabilities undertaken by him which, in connection with the disposal by him of the land in question, have been taken over by some other person may, notwithstanding anything in subsection (2) of section three hundred and thirty of the Income Tax Act, 1952, be taken into account.
6In subsection (1) of section three hundred and twenty-six of the Income Tax Act, 1952, the reference to expenditure incurred on the provision or purchase of property shall, in relation to section twenty-one of this Act, be deemed to include a reference to expenditure on the acquisition of land.
Section 24.
1(1)The events giving rise to balancing allowances or balancing charges under Chapter II of Part X of the Income Tax Act, 1952 (in this Part of this Schedule referred to as " the principal Chapter ") shall not be confined to events occurring before the permanent discontinuance of the trade, and subsection (1) of section two hundred and ninety-two of that Act shall have effect with the substitution for paragraphs (a) to (d) (which specify the events giving rise to balancing allowances and balancing charges) of the following paragraphs:—
“(a)any event occurring after the setting up and before the permanent discontinuance of the trade whereby the machinery or plant ceases to belong to the person carrying on the trade (whether on a sale of the machinery or plant or in any other circumstances of any description), or
(b)any event occurring as aforesaid whereby the machinery or plant (while continuing to belong to the person carrying on the trade) permanently ceases to be used for the purposes of a trade carried on by him, or
(c)the permanent discontinuance of the trade, the machinery or plant not having previously ceased to belong to the person carrying on the trade”,
and with the omission of the words from " and the event in question " to "permanently discontinued" and from the beginning of the proviso to the end of the subsection:
Provided that where as respects any machinery or plant an event occurring after the commencement of this Act and falling within any of the paragraphs hereinbefore set out is followed by another event falling within any of those paragraphs, the later event shall not be treated as an event giving rise or which may give rise to a balancing allowance or balancing charge in respect of that machinery or plant.
(2)In paragraph (b) of subsection (2) of section two hundred and ninety-six of the Income Tax Act, 1952 (which paragraph provides that where obsolete machinery or plant provided before the appointed day is replaced, and the person replacing it has elected to be allowed a deduction in respect of the cost of replacement, no balancing allowance is to be made in respect of the sale, destruction or putting out of use of the machinery or plant replaced) the words " the sale, destruction or putting out of use of" shall cease to have effect.
2(1)Where an event occurs which gives rise or might give rise to a balancing allowance or balancing charge under the principal Chapter in respect of machinery or plant, the event is the permanent discontinuance of a trade, and at or about the time of the discontinuance there occurs in relation to the machinery or plant any event such as is mentioned in paragraphs (a) to (cc) of the definition of " sale, insurance, salvage or compensation moneys" in section three hundred and thirty-three of the Income Tax Act, 1952, not being a sale at less than the open-market price other than a sale to which section three hundred and twenty-seven of that Act applies, then for the purposes of determining—
(a)whether the discontinuance gives rise to a balancing allowance or balancing charge, and, if so,
(b)the amount of the allowance or, as the case may be, the amount on which the charge is to be made,
the amount of any net proceeds, compensation, receipts or insurance moneys mentioned in the said paragraphs (a) to (cc) which arise on the last-mentioned event shall be deemed to be an amount of sale, insurance, salvage or compensation moneys arising on the permanent discontinuance of the trade.
(2)In this and the three next following paragraphs the expression " open-market price ", in relation to any machinery or plant, means the price which the machinery or plant would have fetched if sold in the open market at the time of the event in question.
3(1)Subject to the provisions of paragraphs 4 and 6 of this Schedule, the next following sub-paragraph shall have effect where an event occurs which gives rise or might give rise to a balancing allowance or balancing charge under the principal Chapter in respect of machinery or plant, and either—
(a)the event is the permanent discontinuance of the trade and immediately after the time of the discontinuance the machinery or plant continues to belong to the person by whom the trade was carried on immediately before the said time and the case is one not falling within the last foregoing paragraph; or
(b)the event is the permanent discontinuance of the trade and at the time of the discontinuance the machinery or plant is either sold at less than the open-market price, the sale not being one to which section three hundred and twenty-seven of the Income Tax Act, 1952, applies, or the machinery or plant is given away; or
(c)the event is the sale of the machinery or plant at less than the open-market price, not being a sale to which the said section three hundred and twenty-seven applies, or is the gift of the machinery or plant; or
(d)the event is that, after the setting-up and before the permanent discontinuance of the trade, the machinery or plant permanently ceases to be used for the purposes of a trade carried on by the person by whom the first-mentioned trade is being carried on, and so ceases either by reason of that person's transferring the machinery or plant to other use or, on a transfer of the trade which is not treated as involving the discontinuance thereof, by reason of the retention of the machinery or plant by the transferor.
(2)For the purpose of determining whether a balancing allowance or balancing charge falls to be made and, if so, the amount of the allowance or, as the case may be, the amount on which the charge is to be made the event shall be treated as if it had given rise to sale, insurance, salvage or compensation moneys of an amount equal to the open-market price of the machinery or plant.
4(1)References in the two last foregoing paragraphs to the sale of machinery or plant at less than the open-market price do not include references to the sale thereof in such circumstances that there is a charge to tax under Schedule E by virtue of the provisions of Chapter II of Part VI of the Income Tax Act, 1952 (which relates to the taxation of benefits in kind provided for directors and employees).
(2)Sub-paragraph (2) of the last foregoing paragraph shall not apply by reason of a gift of machinery or plant if the machinery or plant is given away in such circumstances as aforesaid.
5Subject to the provisions of the next following paragraph, where sub-paragraph (2) of paragraph 3 of this Schedule has effect by reason of the gift or sale of machinery or plant to any person, and that person receives or purchases it with a view to using it for the purposes of a trade carried on by him, then in determining whether any, and if so what, annual allowances, balancing allowances or balancing charges are to be made in connection with that trade the like consequences shall ensue as if the recipient or purchaser had purchased the machinery or plant at the open-market price.
6(1)Where in a case falling within the last foregoing paragraph the recipient or purchaser and the donor or seller by notice in writing to the surveyor jointly so elect, the following provisions shall have effect.
(2)Sub-paragraph (2) of paragraph 3, and paragraph 5, of this Schedule shall have effect as if for the references to the open-market price there were substituted references to that price or the amount of the expenditure on the provision of the machinery or plant still unallowed immediately before the gift or sale, whichever is me lower.
(3)Notwithstanding anything in the foregoing provisions of this Schedule, such balancing charge under the principal Chapter, if toy, shall be made on the recipient or purchaser on any event occurring after the date of the gift or sale as would have fallen to be made on the donor or seller if the donor or seller had continued to own the machinery or plant and had done all such things and been allowed all such allowances in connection therewith as were done by or allowed to the recipient or purchaser.
7Where a person succeeds to a trade as a beneficiary under the will or on the intestacy of a deceased person who carried on that trade, the following provisions shall, if the beneficiary by notice in writing to the surveyor so elects, have effect in relation to any machinery or plant which passes to him together with the trade, being machinery or plant previously owned by the deceased person and used by him for the purposes thereof, that is to say:—
(a)the reference in subsection (1) of section three hundred and twenty-eight of the Income Tax Act, 1952, to the price which the machinery or plant would have fetched if sold in the open market shall, in relation to the succession and any previous succession occurring on or after the death of the deceased, be deemed to be a reference to that price or the amount of the expenditure on the provision of the machinery or plant still unallowed immediately before the succession in question, whichever is the lower; and
(b)notwithstanding anything in the said subsection (1), such balancing charge, if any, shall be made on the beneficiary on any event occurring after his succession as would have fallen to be made on the deceased if he had not died and had continued to own the machinery or plant and had done all such things and been allowed all such allowances in connection therewith as were done by or allowed to the beneficiary or the successor on any such previous succession as is mentioned in the last foregoing sub-paragraph.
8The definition of " sale, insurance, salvage or compensation moneys" in subsection (1) of section three hundred and thirty-three of the Income Tax Act, 1952 shall have effect for the purposes of the principal Chapter and of this Part of this Schedule as if at the end of paragraph (c) thereof the word " and " were omitted and after that paragraph there were inserted the following paragraph:—
as respects machinery or plant, where the event is the permanent loss thereof otherwise than in consequence of its demolition or destruction, any insurance moneys received by him in respect of the loss and any other compensation of any description received by him in respect thereof, in so far as that compensation consists of capital sums; and and as if in paragraph (d) the words " or that machinery or plant is put out of use " were omitted.”,
9Nothing in the foregoing provisions of this Schedule shall have effect where the event giving rise, or which might give rise, to a balancing allowance or balancing charge occurred before the commencement of this Act, and paragraph 7 of this Schedule shall not have effect if the latest of the successions therein referred to occurred before the commencement of this Act.
10(1)In charging the profits or gains of a trade carried on in partnership the same allowances, deductions and charges shall be allowed or made under the principal Chapter in respect of machinery or plant used for the purposes of that trade and belonging to one or more of the partners but not being partnership property as would fall to be allowed or made if the machinery or plant had at all material times belonged to all the partners and been partnership property and everything done by or to any of the partners in relation thereto had been done by or to all the partners.
(2)Notwithstanding anything in section two hundred and ninety-two of the Income Tax Act, 1952, a sale or gift of machinery or plant used for the purposes of a trade carried on in partnership, being a sale or gift by one or more of the partners to one or more of the partners, shall not be treated as an event giving rise to a balancing allowance or balancing charge under the principal Chapter if the machinery or plant continues to be used after the sale or gift for the purposes of that trade.
(3)References in the foregoing provisions of this paragraph to use for the purposes of a trade do not include references to use in pursuance of a letting by the partner or partners in question to the partnership or to use in consideration of the making to the partner or partners in question of any payment which may be deducted in computing the profits or gains of the trade.
11The provisions of the principal Chapter, of Chapter VI of Part X of the Income Tax Act, 1952, so far as it applies for the purposes of the principal Chapter, and of this Part of this Schedule, other than the provisions of this paragraph, shall apply in relation to a share in machinery or plant as they apply in relation to a part of machinery or plant, and for the purposes of the said provisions a share in machinery or plant shall be deemed to be used for the purposes of a trade so long as, and only so long as, the machinery or plant is used for the purposes thereof.
12(1)Where, after the setting up and on or before the permanent discontinuance of a trade which at any time is carried on in partnership, any event occurs which gives rise or may give rise to a balancing allowance or balancing charge under the principal Chapter in respect of machinery or plant, any balancing allowance or balancing charge which, if the trade had at all times been carried on by one and the same person, would have fallen to be made to or on him in respect of that machinery or plant by reason of that event shall be made to or on the person or persons carrying on the trade at the time of that event, and the amount of any such allowance or charge shall be computed as if that person or those persons had at all times been carrying on the trade and as if everything done to or by his or their predecessors in the carrying on thereof had been done to or by him or them:
Provided that in applying the provisions of subsection (4) of section two hundred and ninety-two of the Income Tax Act, 1952, to any such balancing charge, the deductions and allowances allowed or made in respect of the machinery or plant for years of assessment before the year 1946-47 shall not be taken to include deductions or allowances made to, or attributable to the shares of, persons who were not, either alone or in partnership with other persons, carrying on the trade at the beginning of that year.
(2)The foregoing sub-paragraph shall not have effect as respects events occurring before the commencement of this Act, and as respects other events shall have effect in substitution for subsection (2) of section three hundred and twenty-eight of the Income Tax Act, 1952, so far as that subsection applies to balancing allowances and balancing charges under the principal Chapter.
13The foregoing provisions of this Part of this Schedule shall, with any necessary adaptations, apply in relation to professions, employments, vocations and offices, and to the occupation of woodlands where the profits or gains thereof are assessable under Schedule D, as they apply in relation to trades.
14Subsection (3) of section three hundred and thirty-two of the Income Tax Act, 1952 (which relates to contributions to expenditure on the provision of assets), shall have effect as if for the words " or an initial allowance would have been made under Chapter II thereof " there were substituted the words " or an initial allowance or an annual allowance would have been made under Chapter II thereof ".
15In subsection (1) of section three hundred and twenty-eight of the Income Tax Act, 1952 (which relates to persons succeeding to trades which are to be treated as discontinued), the words from " except so much " to " two hundred and ninety-six of this Act", and in subsection (2) of that section (which relates to partnership trades which notwithstanding changes are not treated as discontinued) the proviso to that subsection, shall be omitted.
16(1)Expenditure incurred after the commencement of this Act in obtaining a right to acquire in the future patent rights as respects any invention in respect of which the patent has not yet been granted shall be deemed for all the purposes of Chapter V of Part X of the Income Tax Act, 1952, to be expenditure on the purchase of patent rights, and if the patent rights are subsequently acquired the expenditure shall be deemed for those purposes to have been expenditure on the purchase of those rights.
(2)Any sum received from a person which by virtue of this paragraph is deemed to be expenditure incurred by him on the purchase of patent rights shall be deemed to be proceeds of a sale of patent rights.
17Section three hundred and eighteen of the Income Tax Act, 1952 (which imposes a charge on capital sums received for the sale of patent rights), shall apply in relation to any sale after the commencement of this Act of part of any patent rights as it applies in relation to sales of patent rights.
18(1)Chapter VI of Part X of the Income Tax Act, 1952, shall apply for the purposes of this Schedule as it applies for the purposes of the said Part X.
(2)Expressions used in Part I of this Schedule have the same meanings as in Chapter II of the said Part X, and expressions used in Part II of this Schedule have the same meanings as in Chapter V of the said Part X.
Section 33.
1(1)The rate of any distribution charge in respect of a trade or business for a chargeable accounting period ending after the end of the year nineteen hundred and fifty-one shall be determined as follows—
(a)the charge shall be at twenty per cent., subject to this, that the amount on which the charge is at twenty per cent. shall not, when added—
(i)to the total of the amounts, if any, on which distribution charges at twenty per cent. have fallen to be made for previous chargeable accounting periods ending after the end of the year nineteen hundred and fifty-one; and
(ii)to the total of the amounts, if any, on which distribution charges at forty per cent. have fallen to be made for previous chargeable accounting periods ending at or before the end of the year nineteen hundred and fifty-one,
exceed the total of the amounts on which reliefs for non-distribution have been given at forty per cent. for previous chargeable accounting periods or at twenty per cent. for previous chargeable accounting periods ending after the end of the year nineteen hundred and fifty-one ;
(b)on the amount on which, under the preceding paragraph, the charge cannot be at twenty per cent., it shall be at ten per cent., subject to this, that the amount on which the charge is at ten per cent. shall not, when added—
(i)to the total of the amounts, if any, on which distribution charges at ten per cent. have fallen to be made for previous chargeable accounting periods ending after the end of the year nineteen hundred and fifty-one; and
(ii)to the total of the amounts, if any, on which distribution charges at twenty per cent. have fallen to be made for previous chargeable accounting periods ending at or before the end of the year nineteen hundred and fifty-one,
exceed the total of the amounts on which reliefs for non-distribution have been given at twenty per cent. for previous chargeable accounting periods ending at or before the end of the year nineteen hundred and fifty ;
(c)on the amount on which, under the preceding paragraphs, the charge cannot be at twenty per cent. or ten per cent., it shall be at seven-and-a-half per cent.
References in this sub-paragraph to a distribution charge at a specified rate include references to so much of a distribution charge which is partly at that rate and partly at other rates as is at that rate.
(2)Where, under either of the following provisions of the Finance Act, 1947, that is to say—
(a)subsection (4) of section thirty-six (which relates to schemes of amalgamation or reconstruction); and
(b)subsection (2) of section thirty-eight (which relates to companies having subsidiaries),
a difference in respect of which a non-distribution relief was given to or in respect of any body corporate is to be treated (in whole or in part) as if it had been a difference arising in relation to another body corporate on which non-distribution relief has been given to that body, then, for the purposes of sub-paragraph (1) of this paragraph, relief shall be treated as having been given to the second-mentioned body on the difference or the relevant part thereof at the rate or rates at which it was given on the difference to or in respect of the first-mentioned body.
2(1)Where, in the case of any body corporate, society or other body, the net relevant distributions to proprietors for any chargeable accounting period ending after the end of the year nineteen hundred and fifty-one are, under subsection (3) of section thirty-six of the Finance Act, 1947, as amended by section seventy of the Finance Act, 1948, to be treated as reduced by reference to the repayment, whether before, during or after that period, of a loan made after the end of the year nineteen hundred and fifty-one, the reduction shall be determined by reference to tax at twenty per cent.:
Provided that, if a distribution charge is or would but for that subsection be chargeable for that period, the reduction shall be equal to, or, as the case may be, to the sum of, whichever of the following amounts is or are applicable to the circumstances of the case, that is to say—
(a)if there is a distribution charge at seven-and-a-half per cent., thirteen-and-a-third times whichever of the following two amounts is the less, that is to say—
(i)the tax originally ascribable to the loan; or
(ii)the distribution charge at seven-and-a-half per cent.;
(b)if there is no distribution charge at seven-and-a-half per cent. or if the distribution charge at seven-and-a-half per cent. is less than the tax originally ascribable to the loan, ten times whichever of the following two amounts is the less, that is to say—
(i)the tax originally ascribable to the loan, less the distribution charge, if any, at seven-and-a-half per cent.; or
(ii)the distribution charge at ten per cent.;
(c)if there is no distribution charge at seven-and-a-half per cent. or ten per cent. or if the distribution charge at those rates is less than the tax originally ascribable to the loan, five times whichever of the following two amounts is the less, that is to say—
(i)the tax originally ascribable to the loan, less the distribution charge, if any, at the said rates; or
(ii)the distribution charge at twenty per cent.
In paragraphs (a) to (c) of the proviso to this sub-paragraph—
" the tax originally ascribable to the loan " means the amount by which the tax for any chargeable accounting period has been increased by reason of the loan being treated as part of the gross relevant distributions to proprietors for that period;
" distribution charge" means the distribution charge which would be chargeable but for the reduction;
and references to a distribution charge at a specified rate include references to so much of a distribution charge which is partly at that rate and partly at other rates as is at that rate.
(2)Sub-paragraph (1) of this paragraph shall apply in relation to loans made before the end of the year nineteen hundred and fifty-one as it applies in relation to loans made after the end of that year, but with the substitution for references to the tax originally ascribable to the loan of references to half the amount of that tax.
3Section forty-two of the Finance Act, 1947 (which as amended by subsection (3) of section seven of the Finance (No. 2) Act, 1947, restricts the profits tax chargeable in the case of building societies to six per cent. of their profits, computed as therein mentioned), shall, in relation to any chargeable accounting period ending after the end of the year nineteen hundred and fifty-one, have effect as if the words " two per cent." were substituted for the words " six per cent. "
4Subsection (3) of section sixty-nine of the Finance Act, 1948, and subsection (2) of section twenty-nine of the Finance Act, 1951 (which provide for a reduction of the tax chargeable on the recipient of certain payments where the payer is a body corporate connected with the recipient or is a statutory undertaker carrying on a public utility concern), shall, in relation to any chargeable accounting period ending after the end of the year nineteen hundred and fifty-one, have effect as if the words " two-and-a-half per cent." were substituted for the words " ten per cent. ".
5The provisions set out in the third column of the Schedule to the Profits Tax Act, 1949 (which modified the application of certain enactments in relation to accounting periods divided by subsection (1) of section one of that Act), shall have effect so as to modify the application of those enactments also in relation to accounting periods divided by subsection (3) of section thirty-three of this Act:
Provided that, as respects double taxation relief—
(a)the reference in the said Schedule to paragraph 3 of Part I of the Ninth Schedule to the Finance Act, 1947, shall be deemed to be a reference to paragraph 3 of the Sixteenth Schedule to, and paragraph 1 of Part II of the Seventeenth Schedule to, the Income Tax Act, 1952, or, where that Act does not apply, to paragraph 3 of the said Part I and paragraph 1 of Part II of the Sixth Schedule to the Finance Act, 1950; and
(b)any foreign tax which, but for this paragraph of this proviso, would, under paragraph 7 of the said Sixteenth Schedule as modified by paragraph 2 of Part II of the said Seventeenth Schedule, or, in a case in which the Income Tax Act, 1952, does not apply, under paragraph 7 of the said Part I as modified by paragraph 2 of Part II of the said Sixth Schedule, have gone to reduce the profits of the trade or business for the first of the two chargeable accounting periods shall instead be apportioned between the two chargeable accounting periods by reference to the number of months or fractions of months in each of them respectively and the profits of each reduced accordingly.
Sections 38, 65.
1Paragraph 5 of the Tenth Schedule to this Act shall, with the necessary modifications, apply for the purpose of computing the value, at the end of the year, of any assets of a class described in the first column of the Table set out in that paragraph as it applies for the purpose of computing the value of those assets in the case of such a distribution as is mentioned in that paragraph.
2The amount of the debts due to the body corporate shall be taken to be reduced by the amount of such deductions, if any, as are allowable under paragraph (f) of Rule 3 of the Rules applicable to Cases I and II of Schedule D in computing the profits or gains of the body corporate for income tax purposes.
3The value of any hereditament in respect of which a value payment under the War Damage Act, 1943, has been made, or the value of which before and after the occurrence of any war damage has been determined for the purposes of such a payment, shall be taken to be equal to the amount paid in cash for the hereditament by the body corporate less the amount of the value payment, and, if the amount of the value payment is equal to or exceeds the first-mentioned amount, shall be taken to be nil.
4The value of any other assets shall be taken to be equal to the amount paid therefor in cash by the body corporate.
5The assets of the body corporate shall be deemed to include the amount, after deduction of income tax, of any unpaid post-war refund (within the meaning of Part IV of the Finance (No. 2) Act, 1945).
6The liabilities of the body corporate shall be deemed to include the following sums, whether or not they have become payable, that is to say—
(a)any borrowed money or other debt owed by the body corporate;
(b)any such sums in respect of accruing liabilities as are allowable as a deduction in computing profits or gains for income tax purposes, or would be so allowable but for the provisions of paragraph (1) of Rule 3 of the Rules applicable to Cases I and II of Schedule D ; and
(c)in the case of the business of an assurance company, also any sums representing profits of its life assurance business belonging or allocated to, or reserved for, or expended on behalf of, policy holders or annuitants (being sums which would be excluded, under subsection (1) of section sixteen of the Finance Act, 1923, in computing the profits of the company for income tax purposes).
7The liability at the end of the year in respect of income tax shall be taken to include any liability for income tax payable for the year of assessment ending on the fifth day of April next following the end of the year.
8The liability at the end of the year in respect of excess profits tax shall be taken to include any liability under an assessment made after the end of the year.
9The liability at the end of the year in respect of profits tax shall be taken to include any liability in respect of profits for any period ending at or before the end of the year.
10Where no balance sheet is drawn up by the body corporate for the end of the year.—
(a)the value of its assets at the end of the year shall be taken to be the same as at the last preceding date for which a balance sheet is drawn up by it, except that there shall be added to the value of those assets the amount, if any, which would be the amount of the undistributed profits of the body corporate for an accounting period beginning at the date for which the balance sheet is drawn up and ending at the end of the year, if in paragraph 1 of the Tenth Schedule to this Act—
(i)for the amount referred to in paragraph (a) of sub-paragraph (2) there were substituted all the profits for the accounting period, and
(ii)for the amount referred to in paragraph (c) of sub-paragraph (3) there were substituted the profits tax payable in respect of those profits ; and
(b)the value of its liabilities at the end of the year, other than liabilities in respect of any tax, shall be taken to be the same as at the last preceding date for which a balance sheet is drawn up by it, and its liabilities at the end of the year in respect of tax shall be as mentioned in paragraphs 7 to 9 of this Schedule, except that the liability in respect of profits tax shall be taken not to include liability in respect of profits for any period commencing after the date for which the balance sheet is drawn up.
Sections 45, 63, 65.
1The profits or losses shall be computed without abatement and including franked investment income, that is to say, as if subsections (1) to (3) of section thirty-three of the Finance Act, 1947 (which provide for an abatement of profits for profits tax purposes in certain cases) had not been passed and as if, in sub-paragraph (1) of paragraph 7 of the Fourth Schedule to the Finance Act, 1937, as set out in section thirty-two of the Finance Act, 1947, paragraphs (a) and (b) (which relate to dividends and distributions of profits received directly or indirectly from bodies corporate which are themselves liable to the profits tax) were omitted, and as if the proviso to sub-paragraph (1) of the said paragraph 7 were also omitted.
2No loss shall be carried forward from any previous accounting period, and no sum shall be deducted in respect of wear and tear under sub-paragraph (2) of paragraph 3 of the Fourth Schedule to the Finance Act, 1937.
3(1)Except where sub-paragraph (2) of this paragraph applies, the deductions to be made under paragraph 1 of Part I of the Eighth Schedule to the Finance Act, 1947, in respect of initial allowances under Part I, Part II and Part III of the Income Tax Act, 1945, or under Chapter I, Chapter II and Chapter III of Part X of the Income Tax Act, 1952, shall be such deductions, and such deductions only, as would fall to be made under that paragraph if—
(a)neither section twenty of the Finance Act, 1949 (which increased initial allowances in the case of expenditure on the provision of machinery or plant) nor section twenty of the Finance Act, 1951 (which suspended initial allowances under the said Parts I, II and III) had been passed; and
(b)no initial allowance had fallen to be made under Part I, Part II or Part III of the Income Tax Act, 1945, in respect of expenditure incurred before the sixth day of April, nineteen hundred and forty-six ; and
(c)the Income Tax Act, 1952, had been passed with the corresponding modifications, that is to say, with the substitution of " one-fifth " for " two-fifths " in subsection (1) of section two hundred and seventy-nine, with the omission of subsection (7) of section two hundred and sixty-five, subsection (5) of the said section two hundred and seventy-nine and the proviso to section three hundred and six and with the substitution, in sub-paragraph (2) of paragraph 3 of the Fourteenth Schedule, of " four-fifths " for "three-fifths " in both places where those words occur, with the omission of subsection (4) of section two hundred and sixty-five and with the substitution, in the proviso to subsection (6) of that section, in the proviso to subsection (2) of section two hundred and seventy-nine, and in the proviso to subsection (1) of section three hundred and nine of " nineteen hundred and forty-six " for " nineteen hundred and forty-four " ; and
(d)any election made after the fifth day of April, nineteen hundred and forty-seven, under section seven of the Income Tax Act, 1945 (which, in the case of such an election, authorises the making of initial and annual allowances instead of allowances for depreciation of mills, factories and other premises), had not been made ; and
(e)initial allowances had been made for income tax purposes accordingly.
(2)If the person carrying on the trade or business by notice in writing to the Commissioners so elects, paragraph (a) of sub-paragraph (1) of this paragraph and the corresponding part of paragraph (c) of that sub-paragraph shall not apply, and no deductions in respect of initial allowances under the said Parts or Chapters I, II and III shall be made under paragraph 1 of Part I of the Eighth Schedule to the Finance Act, 1947, in the case of any accounting period of the trade or business.
(3)An election under sub-paragraph (2) of this paragraph shall be made either—
(a)within twelve months from the end of the first chargeable accounting period of the body corporate or such longer period as the Commissioners may in their discretion allow ; or
(b)within twelve months from the end of the period of charge to the excess profits levy or such longer period as the Commissioners may in their discretion allow ;
and any election made under paragraph (a) of this sub-paragraph may be withdrawn by notice in writing to the Commissioners within the period mentioned in paragraph (b) of this sub-paragraph ; and all such assessments, additional assessments, reductions of assessments and repayments of tax shall be made as are necessary to give effect to an election made under paragraph (b) of this sub-paragraph or to the withdrawal of an election made under paragraph (a) thereof.
(4)Nothing in this paragraph shall be construed as requiring any adjustment of the deductions falling to be made under paragraph 1 of Part I of the said Eighth Schedule otherwise than in respect of initial allowances.
(5)Any reference in this paragraph to an allowance made for income tax purposes includes a reference to an allowance which would be made tor those purposes but for an insufficiency of profits or gains, or other income, against which to make it.
4(1)Except where sub-paragraph (2) of this paragraph applies, such additional deductions shall be made under paragraph 1 of Part I of the Eighth Schedule to the Finance Act, 1947, as would have fallen to be made if—
(a)section twenty-two of the Finance Act, 1949, and sections twenty and twenty-one of this Act (which extend the expenditure for which annual allowances may be given in connection with mines, oil wells, etc.) had, with the necessary adaptations of the wording thereof, formed part of the Income Tax Act, 1945 ; and
(b)the appointed day for the purposes of the said sections twenty two, twenty and twenty-one had been the sixth day of April, nineteen hundred and forty-six, instead of the sixth flay of April, nineteen hundred and forty-nine, or the sixth day of April, nineteen hundred and fifty-two ; and
(c)annual allowances had been made for income tax purposes accordingly.
(2)If the person carrying on the trade or business by notice in writing to the Commissioners so elects, sub-paragraph (1) of this paragraph shall not apply, and no deductions in respect of annual allowances in respect of expenditure to which the said section twenty-two, section three hundred and ten of the Income Tax Act, 1952, the said section twenty or the said section twenty-one applies, shall be made under paragraph 1 of Part I of the Eighth Schedule to the Finance Act, 1947, in the case of any accounting period of the trade or business.
(3)An election under sub-paragraph (2) of this paragraph shall be made either—
(a)within twelve months from the end of the first chargeable accounting period of the body corporate or such longer period as the Commissioners may in their discretion allow ; or
(b)within twelve months from the end of the period of charge to the excess profits levy or such longer period as the Commissioners may in their discretion allow ;
and any election made under paragraph (a) of this sub-paragraph may be withdrawn by notice in writing to the Commissioners within the period mentioned in paragraph (b) of this sub-paragraph ; and all such assessments, additional assessments, reductions of assessments and repayments of tax shall be made as are necessary to give effect to an election made under paragraph (b) of this sub-paragraph or to the withdrawal of an election made under paragraph (a) thereof.
(4)Any reference in this paragraph to an allowance made for income tax purposes includes a reference to an allowance which would be made for those purposes but for an insufficiency of profits or gains, or other income, against which to make it.
5(1)Where the standard profits for a full year of a body corporate whose trade or business consists wholly or mainly in the ownership or operation of ships fall to be calculated by reference to its profits for the standard years, and in computing those profits a deduction is made under paragraph 1 of Part I of the Eighth Schedule to the Finance Act, 1947, on account of any annual allowance made for income tax purposes in respect of any of its ships, then if—
(a)the body corporate has made an election under paragraph 2 of Part I of the Sixth Schedule to the Finance Act, 1949, or section two hundred and eighty-two of the Income Tax Act, 1952 (which provide for an alternative method of calculating annual allowances); and
(b)by reason of the operation of paragraph (b) of Rule 6 of the Rules applicable to Cases I and II of Schedule D or of section two hundred and eighty-eight of the Income Tax Act, 1952 (which restrict the making of annual allowances) any deduction which, in computing the body corporate's profits or loss for a chargeable accounting period, would otherwise fall to be made as aforesaid in respect of that ship is not made or is reduced,
an additional deduction shall be made under the said paragraph 1, in computing the body corporate's profits or loss for that chargeable accounting period, of an amount equal to the difference between the deduction (if any) so made in respect of that ship and the deduction which would have been so made in respect of that ship but for the operation of the said paragraph (b) or the said section two hundred and eighty-eight :
Provided that—
(i)where the deduction made in respect of that ship in computing the said profits for the standard years is itself reduced by reason of the operation of the said paragraph (b), the additional deduction shall be reduced in the same proportion ; and
(ii)where the body corporate has made an election under paragraph (a) of subsection (4) of section thirty-eight of this Act, the additional deduction shall be calculated, under the preceding provisions of this paragraph, as if the year specified in the election were not a standard year and shall then be halved.
(2)In relation to a body corporate which is a member of a group within the meaning of the Twelfth Schedule to this Act, the reference in this paragraph to an election under paragraph (a) of subsection (4) of section thirty-eight of this Act shall be construed as a reference to an election made under paragraph (a) of sub-paragraph (4) of paragraph 9 of the said Twelfth Schedule and the first reference in this paragraph to its profits for the standard years shall be construed as a reference to its share in the composite figure determined under sub-paragraph (1) of the said paragraph 9.
6The profits or losses shall be computed without regard to any balancing allowances and charges or to any charges on the sale of patents under sections three, seventeen, twenty-eight and thirty-seven of the Income Tax Act, 1945, or sections two hundred and sixty-seven, two hundred and ninety-two, three hundred and eight and three hundred and eighteen of the Income Tax Act, 1952.
7The profits or losses shall be computed as if—
(a)paragraph (b) of the proviso to paragraph 4 of the Fourth Schedule to the Finance Act, 1937 (which, amongst other things, excludes deductions for any interest, annuities or other annual payments paid to certain directors and for royalties or rents so paid) had never formed part of the said paragraph 4 ; and
(b)subsection (5) of section forty-two of the Finance Act, 1938, and section sixty-nine of the Finance Act, 1948 (which contain special provisions as to connected companies) had not been passed ; and
(c)paragraph 11 of the Fourth Schedule to the Finance Act. 1937 (which relates to the amounts deductible for remuneration of directors in the case of a company the directors whereof have a controlling interest therein) had at all times had effect as set out in section thirty-four of this Act; and
(d)section twenty-six of this Act (which relates to tied premises) had always had effect.
8No deduction shall be allowed in respect of expenses in excess of the amount which is reasonable and necessary, having regard to the requirements of the trade or business, and, in the case of directors' fees or other payments for services, to the actual services rendered by the person concerned.
9Where the performance of a contract extends beyond the accounting period, there shall, unless the Commissioners, or. on appeal, the Special Commissioners, having regard to any special circumstances, otherwise direct, be attributed to that period such proportion of the entire profit or loss which has resulted, or which it is estimated will result, from the complete performance of the contract as is properly attributable to that period having regard to the extent to which the contract was performed in that period.
10Where a deduction would be allowable in computing profits apart from the provisions of this paragraph, and the deduction does not represent a sum reasonably and properly attributable to the accounting period, only such part of the deduction shall be allowable as a deduction for that period as is reasonably and properly attributable to that period, and any balance of the deduction shall be treated as attributable to such other accounting period or periods (whether or not they include or fall wholly or partly within a standard year or any chargeable accounting period) as may be proper.
11(1)Where—
(a)arrangements are in force in connection with the trade or business having as their object or one of their objects the provision of benefits to or in respect of all or any of the persons employed or to be employed in the trade or business; and
(b)any payment (whether to a superannuation or other fund or under a policy of insurance or under a contract for a deferred annuity or for a capital sum or otherwise) is made under those arrangements in respect of back service (whether rendered to the person carrying on the trade or business or not),
no deduction shall be made in respect of that payment in computing the profits or loss of the trade or business for any accounting period.
(2)For the purposes of this paragraph, service of any person shall, in relation to any arrangements, be deemed to be back service if it was rendered before the arrangements were made or before the arrangements applied to him.
(3)A payment shall be deemed for the purposes of this paragraph to be made in respect of back service if any of the following conditions are fulfilled with respect to it, that is to say—
(a)it is expressed under the arrangements in question to be made in respect of service the whole or part of which is back service; or
(b)the benefits to or towards the provision of which the payment is made will be computed by reference to the length of service the whole or part of which is back service ; or
(c)the said benefits are provided or are to be provided in recognition of service the whole or part of which is back service:
Provided that—
(i)where part only of the service mentioned in any of the said conditions is back service, only so much of the payment shall be treated, by virtue of the fulfilment of that condition, as in respect of back service as, on a just apportionment of the payment, is referable to such service ; and
(ii)in determining for the purposes of this paragraph whether or not benefits are or are to be provided in recognition of any particular service, all relevant facts shall be taken into consideration and the statements of the parties concerned, whether embodied in the arrangements or not, shall not be taken as conclusive.
(4)Where arrangements are modified by subsequent arrangements so as to provide for new or greater benefits, the original arrangements and the modifying arrangements shall be treated for the purposes of this paragraph as separate arrangements and any payments made under the arrangements as modified shall be apportioned accordingly.
(5)In this paragraph, " benefit" means, in relation to any person, any periodical or lump sum payment payable at a future date (whether before, at or after the date of his retirement), and includes any such payment to or for the benefit of his spouse, children (including adopted children and illegitimate children), relations or dependants ; and for the purposes of this paragraph any director of a body corporate or person employed in the management of a body corporate shall be deemed to be a person employed and " service " shall be construed accordingly.
(6)Nothing in this paragraph affects, in relation to any such payment or part of a payment as is not in respect of back service, the provisions of the last preceding paragraph or of section thirty-two of the Finance Act, 1921, or section three hundred and seventy-nine of the Income Tax Act, 1952 (which relate to the exemption of superannuation funds from tax).
12Where—
(a)the body corporate's trade or business commenced before the first day of January, nineteen hundred and forty-seven ; and
(b)no requirement in respect thereof was made for excess profits tax purposes under paragraph (a) of subsection (1) of section thirty-seven of the Finance Act, 1946 (which provides for relief from that tax where repairs and renewals were deferred until after the end of the period for which that tax was chargeable),
such adjustments, if any, shall be made in computing the, profits for the standard years as are necessary to secure that the amount deducted in respect of expenditure upon repairs and renewals necessary to maintain assets in an effective working condition which was incurred by the body corporate during the standard years does not bear to the total such expenditure incurred by the body corporate in the period beginning with the first day of January, nineteen hundred and forty, or with the date of the commencement of the trade or business, whichever is the later, and ending at the end of the year nineteen hundred and forty-nine a greater proportion than two years bears to the length of the period beginning and ending as aforesaid:
Provided that—
(i)where the body corporate makes an election under paragraph (a) of subsection (4) of section thirty-eight of this Act, this paragraph shall have effect as if the year specified in the election were not a standard year and as if for " two years " there were substituted " one year "; and
(ii)where the body corporate makes an election under paragraph (b) or paragraph (c) of the said subsection (4), this paragraph shall not apply.
13Any deduction which, but for this paragraph, would fall to be made in respect of expenses incurred by the body corporate in the restoration of assets situated in territory which, at any time during the years nineteen hundred and forty-two to nineteen hundred and forty-five, was under Japanese occupation shall be made only to the extent (if any) that the expenses have not been and are not to be met directly or indirectly by the Crown or by any government or public or local authority, whether in the United Kingdom or elsewhere.
14Where the accounting period falls partly before and partly after the end of the year nineteen hundred and forty-six, the profits or loss shall be computed on the basis that the provisions of Part IV of the Finance Act. 1947. have effect with respect to the whole of the period.
Sections 46, 65.
1(1)If the sum of the amounts mentioned in sub-paragraph (2) of this paragraph exceeds the sum of the amounts mentioned in sub-paragraph (3) of this paragraph, there shall be deemed to be undistributed profits for the accounting period equal to the difference ; and if the sum of the amounts mentioned in the said sub-paragraph (2) is less than the sum of the amounts mentioned in the said sub-paragraph (3), there shall be deemed to be an over-distribution of profits for the accounting period equal to the difference.
(2)The amounts first referred to in sub-paragraph (1) of this paragraph are—
(a)half the profits (if any) for the accounting period;
(b)half the amount (if any) of any deductions based on, or losses incurred in, any accounting period ending at or before the relevant date (as defined in the provisions of this Act applicable to the body corporate) and carried forward under paragraph (3) of Rule 6 of the Rules applicable to Cases I and II of Schedule D or section thirty-three of the Finance Act, 1926, to the extent that they have not been taken into account in previous accounting periods and do not exceed half the profits (if any) for the accounting period;
(c)so much of the excess profits levy otherwise payable for previous chargeable accounting periods as is the subject of relief under section forty-two of this Act by reason of any deficiency of profits for the accounting period.
(3)The amounts last referred to in sub-paragraph (1) of this paragraph are—
(a)half the loss (if any) for the accounting period;
(b)the excess profits levy, if any, payable for the accounting period, computed without any reduction for any deficiency of profits for any subsequent chargeable accounting period ;
(c)the amount, if any, by which the profits tax payable for the accounting period exceeds the amount which would have been payable if there had been no net relevant distributions to proprietors;
(d)the net amount distributed for the accounting period by way of dividend or cash bonus to the members, or any class of the members, of the body corporate, as such;
(e)the value of any assets distributed in the accounting period in kind to the members, or any class of the members, of the body corporate, as such, so far as not taken into account under subsection (2) of section thirty-eight or subsections (3) to (6) of section thirty-nine of this Act as amounting to a repayment of capital;
(f)any such sum paid in the accounting period as is mentioned in subsection (1) of section twenty-six of the Finance Act, 1950, or in subsection (1) of section two hundred and forty-two of the Income Tax Act, 1952 (which charge surtax on the consideration for certain restrictive covenants, etc.), and the value of any such consideration given in the accounting period as is mentioned in subsection (2) of those sections respectively;
(g)surtax borne by the body corporate by virtue of any assessment made in its name under section twenty-one of the Finance Act, 1922, or Chapter III of Part IX of the Income Tax Act, 1952, so far as that surtax is in respect of income thereof for the accounting period.
(4)Where, in consequence of there being no amount payable for a chargeable accounting period by way of excess profits levy or of the amount so payable being less than fifteen, or, as the case may be, ten per cent. of the profits for that period, an adjustment falls to be made under the proviso to subsection (1) of section forty-three of this Act, any sum becoming payable by way of the levy as the result of that adjustment shall be treated for the purposes of paragraph (b) of sub-paragraph (3) of this paragraph as payable for the first-mentioned accounting period, notwithstanding that the adjustment may be by way of assessment or additional assessment for some other period.
2In computing the profits or loss for the purposes of sub-paragraphs (2) and (3) of paragraph 1 of this Schedule, the following provisions, that is to say—
(a)paragraphs 3, 4, 6, 8 and 10 to 12 of the Ninth Schedule to this Act; and
(b)paragraph 11 of the Fourth Schedule to the Finance Act, 1937 (which limits the deduction which may be made for the remuneration of directors where the directors have a controlling interest), and so much of paragraph 7 of the Ninth Schedule to this Act as relates to the said paragraph 11 ; and
(c)section fourteen of the Finance (No. 2) Act, 1940 (which restricts the deduction which can be made for interest, annuities and annual payments),
shall not apply.
3Where a notice under subsection (1) of section twenty-two of the Finance Act, 1937 (which relates to subsidiary companies) is in force, the net amount distributed for the accounting period by way of dividend or cash bonus, and the value of any assets distributed in the accounting period, shall be computed for the purposes of sub-paragraph (3) of paragraph 1 of this Schedule as if subsection (1) of section thirty-eight of the Finance Act, 1947 (which directs that certain income shall be left out of account) had not been passed, and if the subsidiary to which the notice relates pays to the principal company an amount by way of reimbursement of profits tax which by virtue of the notice having been given is payable by that company for the accounting period, the references in paragraph (c) of the said sub-paragraph (3) to the profits tax payable or which would have been payable for the accounting period shall be construed as references to those amounts adjusted as the Commissioners may in their discretion determine.
4(1)Any reference in sub-paragraph (2) or sub-paragraph (3) of paragraph 1 of this Schedule, or in the last preceding paragraph, to a deficiency of profits for the accounting period, or to the profits tax payable or which would have been payable for the accounting period, or to the excess profits levy payable for the accounting period, or to the net amount distributed for the accounting period by way of dividend or cash bonus shall be construed as a reference to a deficiency of profits for, or to the profits tax payable or which would have been payable for, or to the excess profits levy payable for, or to the net amount distributed by way of dividend or cash bonus for, any chargeable accounting periods coincident with, or falling wholly within, the accounting period, and so much of any deficiency of profits for, or of the profits tax payable or which would have been payable for, or of the excess profits levy payable for, or of the net amount distributed by way of dividend or cash bonus for, a chargeable accounting period falling partly within the accounting period as is apportionable to the accounting period:
Provided that where any such chargeable accounting period ends at or before the end of the year nineteen hundred and fifty-one, half the profits tax payable or which would have been payable for that chargeable accounting period shall be left out of account.
(2)The references in sub-paragraph (1) of this paragraph to amounts distributed by way of dividend or cash bonus for a chargeable accounting period shall be construed as if they occurred in the enactments relating to the profits tax, and " net", in relation to such amounts, means after deduction of any income tax deducted therefrom:
Provided that "net," in relation to share interest paid, without deduction of income tax, by a registered industrial and provident society within the meaning of section four hundred and forty-six of the Income Tax Act, 1952, means after deduction of an amount equal to income tax on the amount of the payment, at the standard rate in force at the date of payment.
(3)Any apportionment under sub-paragraph (1) of this paragraph shall be made by reference to the number of months or fractions of months in the two parts of the chargeable accounting period, unless the Commissioners, having regard to any special circumstances, in their discretion otherwise direct
5The value of any assets distributed in kind to the members, or any class of the members, of the body corporate, as such, shall, in the case of assets of the classes described in the first column of the following Table, be taken to be the amount described in relation to that class of asset in the second column of that Table.
| Classes of Asset. | Amount. |
|---|---|
| 1. Assets representing expenditure in respect of which allowances have been made under Part I of the Income Tax Act, 1945, or Chapter I of Part X of the Income Tax Act, 1952. | The residue of that expenditure at the time of the distribution. |
| 2. Assets representing expenditure of the body corporate in respect of which allowances have been made to the body corporate under Part I1 of the Income Tax Act, 1945, or Chapter II of Part X of the Income Tax Act. 1952. | The amount of that expenditure still unallowed as at the time of the distribution. |
| 3. Assets representing expediture of the body corporate to which Part III of the Income Tax Act, 1945, or Chapter III of Part X of the Income Tax Act, 1952, applies. | The residue, immediately before the distribution, of the expenditure attributable to that asset. |
| 4. Patent rights on the purchase of which the body corporate has incurred capital expenditure. | The capital expenditure remaining unallowed calculated, in relation to the distribution, in accordance with subsection (5) of section thirty-six of the Income Tax Act, 1945, or subsection (5) of section three hundred and seventeen of the Income Tax Act. 1952. |
| 5. Assets representing scientific research expenditure of a capital nature incurred by the body corporate, being assets which, at the time of the distribution, are still in use for scientific research related to the body corporate's trade. | The said capital expenditure, less the allowances granted or to be granted to the body corporate in respect thereof under section twenty-eight of the Finance Act, 1944, or section three hundred and thirty-six of the Income Tax Act. 1952. |
In the above Table, expressions used in describing, or in relation to, the five classes of assets shall be construed as if they occurred, respectively, in Part I of the Income Tax Act, 1945, Part II of that Act, Part III of that Act, Part V of that Act and Part IV of the Finance Act, 1944, or, as the case may be, in Chapter I, Chapter II, Chapter III or Chapter V of Part X of, or in Part XI of, the Income Tax Act, 1952, except that the reference to allowances under Part II of the Income Tax Act, 1945, shall be construed as including references to deductions under Rule 6 of the Rules applicable to Cases I and II of Schedule D; and the residue, immediately before the distribution, of the expenditure attributable to an asset of the third class shall be calculated as if the distribution were a sale thereof.
Sections 47, 48, 58, 63, 65.
1(1)Where the transfer takes place at or before the beginning of the period of charge to the excess profits levy, and is a transfer of the whole or substantially the whole of the transferor's trade or business, the standard profits for a full year of the transferor and the transferee shall be calculated as if—
(a)the trade or business had, throughout the period during which it was carried on by the transferor been carried on instead by the transferee ; and
(b)the transferor's profits, losses, undistributed profits or over-distributions of profits for that period, or the relevant parts thereof, had been the transferee's and not the transferor's; and
(c)the transferor's share capital in that period had been share capital of the transferee and not of the transferor and any sums which, in that period, were received by, or paid by, the transferor in cash in respect of any issue of that capital or by way of repayment of any of that capital had instead been so received by, or, as the case may be, paid by, the transferee ; and
(d)the transferor's borrowed money in that period had been borrowed money of the transferee and not of the transferor ; and
(e)immediately after the transfer the transferee had paid in cash by way of repayment of its share capital, and the transferor had received in cash in respect of an issue of its share capital, amounts equal to—
(i)the value of any assets of the transferor not included in the transfer; and
(ii)any sums paid in cash by the transferee to the transferor in respect of the transfer.
(2)Where the transfer takes place at or before the beginning of the period of charge to the excess profits levy and is not a transfer of the whole or substantially the whole of the transferor's trade or business, sub-paragraph (1) of this paragraph shall have effect in relation to the transfer but as if—
(a)the reference in paragraph (a) thereof to the trade or business were a reference to the part of the trade or business transferred; and
(b)the references in paragraphs (b), (c) and (2) thereof to profits, losses, undistributed profits, over-distributions of profits, share capital, borrowed money, and sums received or paid in cash were references to such parts thereof respectively as the Commissioners may apportion to the part of the trade or business transferred ; and
(c)the reference in paragraph (e) thereof to the value of the assets of the transferor not included in the transfer were omitted.
(3)Where under the preceding provisions of this paragraph the standard profits for a full year of the transferor and the transferee fall to be calculated on the assumption that, immediately after the transfer, the transferee has paid in cash by way of repayment of its share capital, and the transferor has received in cash in respect of an issue of its share capital, an amount equal to the value of any assets of the transferor not included in the transfer, it shall also be assumed, for the purpose of the calculation, that an amount equal to the liabilities of the transferor not included in the transfer has been so paid by the transferor and received by the transferee.
(4)Where the transferor under a transfer to which any of the preceding provisions of this paragraph apply is the transferee under a previous transfer to which any of the said provisions apply, the assumptions which, as a result of the earlier transfer, fall to be made under those provisions in calculating his standard profits for a full year shall also be made in calculating the standard profits for a full year of the transferee under the later transfer, and so on in the case of a series of such transfers.
2(1)Where the transfer takes place after the beginning of the period of charge to the excess profits levy, the transferee's standard profits for a full year shall, in relation to any chargeable accounting period beginning on or after the date of the transfer—
(a)be increased by the amount of the transferor's standard profits for a full year calculated as for a chargeable accounting period of twelve months beginning on the date of the transfer; .
(b)be decreased as if the transferee had, immediately after the transfer, paid the following amounts in cash by way of repayment of its share capital, that is to say—
(i)the value of any assets of the transferor not included in the transfer ; and
(ii)any sums paid in cash by the transferee to the transferor in respect of the transfer:
Provided that where the transfer is not a transfer of the whole or substantially the whole of the transferor's trade or business, the reference in paragraph (a) of this sub-paragraph to the amount of the transferor's standard profits for a full year shall be deemed to be a reference to so much thereof as the Commissioners may apportion to the part of the trade or business transferred, and the reference in paragraph (b) of this sub-paragraph to the value of the assets of the transferor not included in the transfer shall be deemed to be omitted.
(2)Where the transfer takes place during a chargeable accounting period of the transferee, the transferee's standard profits in relation to that period shall—
(a)be increased by what would be the standard profits of the transferor for a chargeable accounting period beginning on the date of the transfer and ending at the end of the transferee's said chargeable accounting period ; and
(b)be decreased as if the transferee had, immediately after the transfer, paid the following amounts in cash by way of repayment of its share capital, that is to say—
(i)the value of any assets of the transferor not included in the transfer; and
(ii)any sums paid in cash by the transferee to the transferor in respect of the transfer:
Provided that where the transfer is not a transfer of the whole or substantially the whole of the transferor's trade or business, the standard profits of the transferor referred to in paragraph (a) of this sub-paragraph shall, instead of being the appropriate proportion of the standard profits of the transferor for a full year, be taken to be the appropriate proportion of so much of its standard profits for a full year as the Commissioners may apportion to the part of the trade or business transferred, and the reference in paragraph (b) of this sub-paragraph to the value of the assets of the transferor not included in the transfer shall be deemed to be omitted.
(3)Where under the preceding provisions of this paragraph the transferee's standard profits, or standard profits for a full year, fall to be calculated on the assumption that the transferee has, immediately after the transfer, paid in cash by way of repayment of its share capital an amount equal to the value of any assets of the transferor not included in the transfer, it shall also be assumed, for the purpose of the calculation, that the transferee has, immediately after the transfer, received in cash in respect of an issue of its share capital an amount equal to the value of any liabilities of the transferor not included in the transfer.
(4)The transferor's standard profits, or standard profits for a full year, required to be calculated for the purposes of the preceding provisions of this paragraph shall be calculated on the following assumptions—
(a)that no sums were received in cash by the transferor after the transfer in respect of any issue of its share capital or were paid in cash by the transferor after the transfer by way of repayment of any of its share capital and that the transferor had no borrowed money in any period beginning on the date of the transfer;
(b)that the transferor had made an election under sub paragraph (2) of paragraph 3 or sub-paragraph (2) of paragraph 4 of the Ninth Schedule to this Act if and only if the transferee had made such an election ;
(c)that, as from the date of the transfer, the directors of the transferor bad a controlling interest in the transferor during the periods and only during the periods, if any, during which the transferee's directors had a controlling interest in the transferee ;
(d)that there is no election under section forty-one of this Act (which relates to the minimum standard profits for a full year) affecting the transferor.
(5)Where, immediately before the transfer, the transferor's trade or business consists of or includes the working of such a source of mineral deposits as is mentioned in section fifty-five of this Act, the increases in the transferee's standard profits, or standard profits for a full year, which fall to be made under the preceding provisions of this paragraph shall be increased or reduced to such extent, if any, as may appear to the Commissioners, or, on appeal, to the Special Commissioners, to be necessary in order to secure the just operation of the said section fifty-five in relation to the transferee.
(6)Nothing in this paragraph applies to any chargeable accounting period for which an election under the said section forty-one has effect as respects the transferee.
3(1)Where the transfer takes place after the beginning of the period of charge to the excess profits levy, the transferor's standard profits for a full year shall, in relation to any chargeable accounting period beginning on or after the date of the transfer—
(a)be increased as if, immediately after the transfer, it had received the following amounts in cash in respect of an issue of its share capital, that is to say—
(i)the value of any of its assets not included in the transfer; and
(ii)any sums paid to it in cash by the transferee in respect of the transfer ;
(b)be decreased by the amount of its standard profits for a full year calculated as for a chargeable accounting period of twelve months beginning on the date of the transfer:
Provided that where the transfer is not a transfer of the whole or substantially the whole of the transferor's trade or business, the reference in paragraph (a) of this sub-paragraph to the value of the assets of the transferor not included in the transfer shall be deemed to be omitted, and the reference in paragraph (b) of this sub-paragraph to the amount of the transferor's standard profits for a full year shall be deemed to be a reference to so much thereof as the Commissioners may apportion to the part of the trade or business transferred.
(2)Where the transfer takes place during a chargeable accounting period of the transferor, the transferor's standard profits for that period shall—
(a)be increased as if the transferor had, immediately after the transfer, received the following amounts in cash in respect of an issue of its share capital, that is to say—
(i)the value of any of its assets not included in the transfer; and
(ii)any sums paid to it in cash by the transferee in respect of the transfer ;
(b)be decreased by what would be its standard profits for a chargeable accounting period beginning on the date of the transfer and ending at the end of the first-mentioned chargeable accounting period:
Provided that where the transfer is not a transfer of the whole or substantially the whole of the transferor's trade or business, the reference in paragraph (a) of this sub-paragraph to the value of the assets of the transferor not included in the transfer shall be deemed to be omitted, and the standard profits of the transferor referred to in paragraph (b) of this sub-paragraph shall, instead of being the appropriate proportion of the standard profits of the transferor for a full year, be taken to be the appropriate proportion of so much of its standard profits for a full year as the Commissioners may apportion to the part of the trade or business transferred.
(3)Where under the preceding provisions of this paragraph the transferor's standard profits, or standard profits for a full year, fall to be calculated on the assumption that the transferor has, immediately after the transfer, received in cash in respect of an issue of its share capital an amount equal to the value of any of its assets no included in the transfer, it shall also be assumed, for the purpose of the calculation, that the transferor has, immediately after the transfer, paid in cash by way of repayment of its share capital an amount equal to the value of any of its liabilities not included in the transfer.
(4)The transferor's standard profits, or standard profits for a full year, required to be calculated under paragraph (b) of sub-paragraph (1) or paragraph (b) of sub-paragraph (2) of this paragraph shall be calculated on the assumption that no sums were received in cash by the transferor after the transfer in respect of any issue of its share capital or were paid in cash by the transferor after the transfer by way of repayment of any of its share capital, that the transferor had no borrowed money in any period beginning on the date of the transfer, and that there is no election under section forty-one of this Act (which relates to the minimum standard profits for a full year) affecting the transferor.
(5)Where, immediately before the transfer, the transferor's trade or business consists of or includes the working of such a source of mineral deposits as is mentioned in section fifty-five of this Act, the decreases in the transferor's standard profits, or standard profits for a full year, which fall to be made under the preceding provisions of this paragraph shall be increased or reduced to such extent, if any, as may appear to the Commissioners, or, on appeal, to the Special Commissioners, to be necessary in order to secure the just operation of the said section fifty-five in relation to the transferor.
(6)Nothing in this paragraph applies to any chargeable accounting period for which an election under the said section forty-one has effect as respects the transferor.
4Where an asset of any of the classes described in the first column of the Table below forms part of the assets of the transferor at the time of transfer—
(a)its value, if it is not included in the transfer, shall be taken, for the purposes of the preceding provisions of this Schedule, to be the amount described in the second column of that Table in relation to that class of asset; and
(b)if it is included in the transfer, the profits, losses, undistributed profits and over-distributions of profits of the transferor, the transferee and their respective successors in title to the asset shall be determined for the purposes of the excess profits levy as if the transfer had, so far as that asset was concerned, been a sale thereof for the amount so described and as if all allowances, deductions and charges under the Income Tax Act, 1945, and sections twenty-eight and twenty-nine of the Finance Act, 1944, or, as the case may be, under Parts X and XI of the Income Tax Act, 1952, had been made accordingly for all relevant years of assessment.
In sub-paragraph (b) of this paragraph, " charge " includes, in relation to the said section twenty-nine and the said Part XI, the treating of a sum as a trading receipt.
| Classes of Asset. | Amount. |
|---|---|
| 1. Assets representing expenditure in respect of which allowances have been made under Part I of the Income Tax Act, 1945, or Chapter I of Part X of the Income Tax Act, 1952. | The residue of that expenditure at the time of the transfer. |
| 2. Assets representing expenditure of the transferor in respect of which allowances have been made to the transferor under Part II of the Income Tax Act, 1945, or Chapter II of Part X of the Income Tax Act, 1952. | The amount of that expenditure still unallowed as at the time of the transfer. |
| 3. Assets representing expenditure of the transferor to which Part III of the Income Tax Act, 1945, or Chapter III of Part X of the Income Tax Act, 1952, applies. | The residue; immediately before the transfer, of the expenditure attributable to that asset. |
| 4. Patent rights on the purchase of which the transferor has incurred capital expenditure. | The capital expenditure remaining unallowed calculated, in relation to the transfer, in accordance with subsection (5) of section thirty-six of the Income Tax Act, 1945, or subsection (5) of section three hundred and seventeen of the Income Tax Act, 1952. |
| 5. Assets representing scientific research expenditure of a capital nature incurred by the transferor, being assets which, at the time of the transfer, are still in use for scientific research related to the transferor's trade. | The said capital expenditure, less the allowances granted or to be granted to the transferor in respect thereof under section twenty-eight of the Finance Act, 1944, or section three hundred and thirty-six of the Income Tax Act. 1952. |
In this paragraph, expressions used in describing, or in relation to, the five classes of assets shall be construed as if they occurred, respectively, in Part I of the Income Tax Act, 1945, Part II of that Act, Part III of that Act, Part V of that Act and Part IV of the Finance Act, 1944, or, as the case may be, in Chapter I, Chapter II, Chapter III or Chapter V of Part X of, or in Part XI of, the Income Tax Act, 1952, except that the reference to allowances under Part II of the Income Tax Act, 1945, shall be construed as including references to deductions under Rule 6 of the Rules applicable to Cases I and II of Schedule D; and the residue, immediately before the transfer, of the expenditure attributable to an asset of the third class shall (whatever the nature of the transfer) be calculated as if it were a sale of the asset.
5(1)Any person aggrieved by an apportionment made by the Commissioners under this Schedule may appeal to the Special Commissioners, and on any such appeal any other persons affected by the apportionment shall be entitled to appear and be heard, and the Special Commissioners may vary or confirm the apportionment
(2)The decision of the Special Commissioners on any such appeal shall (subject to any appeal therefrom which is competent under the provisions applied by or under the next following sub-paragraph) be binding on the Commissioners and on the appellant and on all persons entitled to appear and be heard as aforesaid.
(3)The provisions of this Act relating to appeals from assessments to the excess profits levy (including the provisions thereof enabling the Commissioners to make regulations) shall, with any necessary modifications, apply in relation to any appeal under this paragraph.
6The preceding provisions of this Schedule, so far as they apply the provisions of this Act relating to standard profits for a full year, shall, in relation to such a transfer as is mentioned in subsection (3) of section forty-seven of this Act, have effect subject to the modifications that—
(a)the amounts actually drawn from the trade or business before the transfer by the persons from time tc time carrying it on shall be left out of account; and
(b)there shall, in computing the profits or losses up to the date of the transfer, be deducted such sums as would fall to be deducted for the remuneration of the directors if the trade or business had been carried on by a body corporate the directors whereof had a controlling interest therein, and the persons from time to time carrying on the trade or business had been directors thereof to whom sub-paragraph (2) of paragraph 11 of the Fourth Schedule to the Finance Act, 1937 (as set out in section thirty-four of this Act) applied and had been paid such remuneration as would enable the maximum amount to be deducted under that paragraph in respect of directors' remuneration ; and
(c)such distributions of profits shall be treated as having been made and such sums, if any, shall be treated as having been received or paid in cash in respect of issues of share capital or by way of repayment of share capital, as the Commissioners, or, on appeal, the Special Commissioners, may determine ;
and subject to such other modifications, if any, as the Commissioners, or, on appeal, the Special Commissioners, may determine.
Sections 49, 50, 54, 58, 63, 65, 68, 70.
1(1)Where, at the beginning of the period of charge to the excess profits levy, the following conditions were fulfilled as respects any two or more bodies corporate, that is to say—
(a)that they were ordinarily resident in the United Kingdom ; and
(b)that one of them was not a subsidiary of any other body corporate ordinarily resident in the United Kingdom ; and
(c)that the others of them were subsidiaries of that one of them ; and
(d)that no other body corporate ordinarily resident in the United Kingdom was a subsidiary of that one of them,
then, subject to the following provisions of this paragraph, those bodies corporate shall be deemed for the purposes of this Schedule to form a group and references in this Schedule to groups and members of groups shall be construed accordingly.
(2)Where, at the beginning of the period of charge to the excess profits levy, the conditions specified in paragraphs (a) to (d) of sub-paragraph (1) of this paragraph would have been fulfilled as respects any two or more bodies corporate but for the fact that that one of those bodies corporate of which the others were subsidiaries (in this sub-paragraph referred to as " the intermediate owner") was itself a subsidiary of another body corporate resident in the United Kingdom (in this sub-paragraph referred to as " the ultimate owner ") then, if any of the subsidiaries of the intermediate owner were not also subsidiaries of the ultimate owner, and the ultimate owner and the intermediate owner jointly so elect before the first day of January, nineteen hundred and fifty-four—
(a)the intermediate owner and its subsidiaries shall be deemed for the purposes of this Schedule to form a group; and
(b)the intermediate owner shall not, for the purposes of this Schedule, be deemed to form a group with the ultimate owner or with the ultimate owner and any other bodies corporate.
(3)If, after the beginning of the said period of charge, a body corporate is incorporated which, when its trade or business commences, is a subsidiary of any member of the group, that body corporate shall also be deemed to be a member of the group, unless, when its trade or business commences, the nexus has been severed as between the body of which it is a subsidiary and the principal member of the group.
2(1)Subject to the provisions, of this paragraph, references in this Schedule to the principal member of a group shall be construed as references to the member of the group of which the other members of the group, or such of them as were then in existence, were subsidiaries at the beginning of the period of charge to the excess profits levy.
(2)When the nexus is severed as between the principal member and the other members of the group, then—
(a)if there is then a member of the group of which all the other members of the group (excluding members in whose case the nexus has been severed as between them and the then principal member thereof) are subsidiaries, that member shall thereafter be deemed to be the principal member of the group;
(b)if there is then a body corporate, not theretofore carrying on any trade or business to which Part V of this Act applies, of which all the members of the group (excluding members in whose case the nexus has been severed as between them and the then principal member thereof) are subsidiaries and which has no other subsidiaries, that body corporate shall be deemed to be a member of the group and to be the principal member thereof;
(c)in any other case such member of the group, if any, as the Commissioners may in their discretion determine shall be deemed to be the principal member of the group either for all purposes or for such purposes, if any, as the Commissioners may so determine.
3The references in this Schedule to the severance of the nexus between members of a group shall be construed as follows, that is to say—
(a)if, after the beginning of the period of charge to the excess profits levy, a member of the group ceases to be ordinarily resident in the United Kingdom or is dissolved, the nexus shall be deemed to be severed as between it and all the other members of the group ;
(b)if, after the beginning of the period of charge to the excess profits levy, or, if its trade or business commenced thereafter, after the commencement of its trade or business, any member of the group ceases to be a subsidiary of the principal member, the nexus shall be deemed to be severed as between it and all the other members of the group:
Provided that the nexus shall not be deemed to be severed as between two members of the group both of which are ordinarily resident in the United Kingdom so long as they are under common control.
4Where—
(a)at some date after the beginning of the period of charge to the excess profits levy, the conditions specified in paragraphs (a) to (d) of sub-paragraph (1) of paragraph 1 of this Schedule are fulfilled as respects two or more bodies" corporate ; and
(b)at that date, none or only one of those bodies corporate has carried on any trade or business to which Part V of this Act applies ; and
(c)none or only one of the said bodies corporate was incorporated before the beginning of the period of charge to the excess profits levy,
the preceding provisions of this Schedule shall apply in relation to those bodies corporate as if the references in those provisions to the beginning of the period of charge to the excess profits levy were references to the date on which the conditions specified in the said paragraphs (a) to (d) are fulfilled.
5For the purposes of this Schedule, a body corporate shall be deemed to be a subsidiary of another body corporate if and so long as not less than three-quarters of its ordinary share capital is owned by that other body corporate, whether directly or through another body corporate or other bodies corporate, or partly directly and partly through another body corporate or other bodies corporate ; and the provisions of subsections (2) and (3) of section forty-two of, and Part I of the Fourth Schedule to, the Finance Act, 1938 (which defines certain expressions used in this paragraph and in the said section forty-two), shall have effect for the purposes of this paragraph as they have effect for the purposes of the said section forty-two:
Provided that a body corporate which, under the preceding provisions of this paragraph, is a subsidiary of two or more bodies corporate each of which is ordinarily resident in the United Kingdom and none of which is a subsidiary of any other body corporate ordinarily resident in the United Kingdom, shall, for the purposes of this Schedule, be treated as a subsidiary of such one only of those bodies corporate as the Commissioners may in their discretion direct.
6Save as otherwise expressly provided, the provisions of this Schedule referring to members of a group shall apply notwithstanding that the conditions specified in paragraphs (a) to (d) of sub-paragraph (1) of paragraph 1 of this Schedule have ceased to be fulfilled in relation to all or any of the members of the group and notwithstanding that there has been a severance of the nexus between all or any of the members of the group.
7The Commissioners may in their discretion make such alterations, if any, of the periods which would otherwise be chargeable accounting periods of any member of a group as they may think expedient for the proper operation of the provisions of this Schedule.
8(1)Subject to the provisions of sub-paragraphs (3) to (5) of this paragraph—
(a)where the trade or business of any of the members of a group commenced on or before the first day of January, nineteen hundred and forty-seven ; or
(b)if the principal member so elects, where that one of the trades or businesses of the members of a group which commenced the earliest commenced after the first day of January, nineteen hundred and forty-seven but before the first day of January, nineteen hundred and forty-nine; or
(c)if the principal member so elects, where that one of the trades or businesses of the members of a group which commenced the earliest commenced after the first day of January, nineteen hundred and forty-seven but before the first day of January, nineteen hundred and fifty and the condition specified in the proviso to subsection (5) of section thirty-eight of this Act would be fulfilled, as respects the trades or businesses of all the members of the group, if they were one trade or business of one body corporate,
the standard profits for a full year of each of the members of the group shall be ascertained under sub-paragraph (3) of paragraph 9 of this Schedule by reference to—
(i)the composite figure for the group, determined under subparagraph (1) of that paragraph ; and
(ii)the share therein of the member in question, determined under sub-paragraph (2) of that paragraph.
(2)Subject to the provisions of sub-paragraphs (3) to (5) of this paragraph, where—
(a)the trade or business of none of the members of the group commenced before the first day of January, nineteen hundred and forty-nine ; or
(b)the trade or business of none of the members of the group commenced on or before the first day of January, nineteen hundred and forty-seven and no election is made by the principal member under sub-paragraph (1) of this paragraph,
the standard profits for a full year of each of the members of the group shall be ascertained under subsection (3) of section thirty-nine of this Act.
(3)Whenever the trades or businesses of the members of the group commenced, the standard profits for a full year of the members of a group shall, if the principal member so elects, be, for such chargeable accounting period of the principal member as may be specified in the election and for all chargeable accounting periods of other members of the group which coincide with or fall within that chargeable accounting period, such proportion of the sum of five thousand pounds as may be apportioned by the Commissioners to those members respectively.
(4)Any member of the group dissatisfied with an apportionment made by the Commissioners under sub-paragraph (3) of this paragraph may appeal to the Special Commissioners, and on any such appeal any other member of the group shall be entitled to appear and be heard, and the Special Commissioners may make a new apportionment of the said sum of five thousand pounds or may confirm the apportionment made by the Commissioners.
The decision of the Special Commissioners on any such appeal shall (subject to any appeal therefrom which is competent under the provisions applied by or under the subsequent provisions of this sub-paragraph) be binding on the Commissioners and on the appellant and on all other members of the group.
The provisions of this Act relating to appeals from assessments to the excess profits levy (including the provisions thereof authorising the Commissioners to make regulations) shall, with any necessary modifications, apply in relation to any appeal under this sub-paragraph.
(5)If, before the end of a chargeable accounting period of a member of a group, the nexus has been severed as between that member and the principal member of the group, nothing in this paragraph shall prevent that member from exercising, as respects that chargeable accounting period, such rights of election, if any, as it would have apart from this paragraph under section forty-one of this Act (which relates to the minimum standard profits for a full year).
(6)Where there is a transfer to which paragraph 2 or paragraph 3 of the Eleventh Schedule to this Act applies, the adjustments required to be made by those paragraphs shall be made to the standard profits for a full year as arrived at under the preceding provisions of this paragraph or, as the case may be, to the standard profits computed by reference to the standard profits for a full year so arrived at:
Provided that the references in the said paragraphs 2 and 3 to elections under section forty-one of this Act shall be deemed to include references to an election under sub-paragraph (3) of this paragraph.
9(1)Subject to the provisions of sub-paragraphs (4) and (5) of this paragraph, the composite figure for the group referred to in sub-paragraph (1) of the last preceding paragraph shall be the sum arrived at by—
(a)aggregating the profits and losses for the standard years of the members of the group whose trades or businesses commenced before the end of the second standard year ; and
(b)reducing the result so that it bears to the full amount thereof the same proportion as one year bears to two years less so much, if any, of the first of the standard years as preceded the commencement of that one of the trades or businesses of the members of the group which commenced the earliest.
(2)The share of each member of the group in the composite figure for the group—
(a)shall, if its trade or business commenced before the end of the second standard year and it had profits for the standard years, be the sum which bears to the composite figure for the group the same proportion as its profits for the standard years bear to the total of the profits for the standard years of all the members of the group which had profits for the standard years; and
(b)shall, if its trade or business commenced after the end of the second standard year or if it had no profits or a loss for the standard years, be nil.
(3)Where the standard profits for a full year of a member of the group fall to be determined under this paragraph, they shall be determined by applying the provisions of subsections (2) and (3) of section thirty-eight of this Act—
(a)as if its share of the composite figure for the group were the amount arrived at under subsection (1) of that section ;
(b)as if (in a case where that one of the trades or businesses of the members of the group which commenced earliest commenced after the beginning of the first of the standard years) there were substituted, in the said subsection (2), for the reference to the beginning of the first of the standard years, a reference to the commencement of that trade or business, and for the reference to two years, a reference to two years less so much of the first of the standard years as preceded the commencement of that trade or business;
(c)as if, in the said subsection (3), the reference to the relevant date as defined in subsection (6) of that section were a reference to the relevant date as defined in sub-paragraph (7) of this paragraph.
(4)Where the trade or business of any of the members of the group commenced on or before the first day of January, nineteen hundred and forty-seven, the principal member may elect either—
(a)that the aggregated profits and losses referred to in paragraph (a) of sub-paragraph (1) of this paragraph shall be computed as if the aggregated profits and losses of the members of the group for one of the two standard years (to be specified in the election) had been an amount of profit equal to eight per cent. of the average amount of the aggregate paid-up share capital of the members of the group in that year, share capital of any member of the group other than the principal member which was beneficially owned by any member of the group being left out of account; or
(b)that the composite figure for the group shall be ten per cent. of the amount of the aggregate paid-up share capital of the members of the group at the end of the year nineteen hundred and forty-six or the year nineteen hundred and fifty-one (as may be specified in the election), share capital of any member of the group other than the principal member which was beneficially owned by any member of the group being left out of account; or
(c)that the composite figure for the group shall be an amount equal to eight per cent. of the amount by which at the end of the year nineteen hundred and forty-six or the year nineteen hundred and fifty-one (as may be specified in the election) the value of the aggregate assets of the members of the group, computed in accordance with the provisions of the Eighth Schedule to this Act but leaving out of account the value of any share capital of a member which is beneficially owned by another member, exceeds the aggregate amount of their liabilities so computed ;
and the preceding provisions of this paragraph shall have effect accordingly:
Provided that where an election is made under paragraph (b) or paragraph (c) of this sub-paragraph.—
(i)subsection (2) of section thirty-eight of this Act, as applied by sub-paragraph (3) of this paragraph, shall not apply to sums received or paid before the end of the year specified in that election ; and
(ii)sub-paragraph (2) of this paragraph shall have effect as if the references to the end of the second standard year were references to the end of the first chargeable accounting period of the principal member and the references to profits for the standard years were references to profits for that chargeable accounting period.
(5)Where the condition specified in the proviso to subsection (5) of section thirty-eight of this Act is fulfilled as respects one or more members of the group but no election can be made under paragraph (c) of the proviso to sub-paragraph (6) of this paragraph or under paragraph (c) of sub-paragraph (1) of paragraph 8 of this Schedule, and no election is made under the last preceding sub-paragraph, the principal member may elect that the composite figure for the group, and the share of each member in that figure shall be calculated as if the profits or losses of the first-mentioned member or members for the years nineteen hundred and forty-nine and nineteen hundred and fifty were its or their profits or losses for the standard years; and where an election is made under this sub-paragraph, then—
(a)subsection (2) of section thirty-eight of this Act, as applied by sub-paragraph (3) of this paragraph, shall have effect in relation to the said member or members as if the references therein to the first and the second of the standard years were respectively references to the year nineteen hundred and forty-nine and nineteen hundred and fifty; and
(b)notwithstanding anything in this paragraph, the relevant date referred to in subsection (3) of the said section thirty-eight shall, in relation to the said member or members, be whichever of the following dates is the later, that is to say the first day of July, nineteen hundred and forty-nine or the commencement of the trade or business of that member or, as the case may be, the commencement of that one of the trades or businesses of those members which commenced the earliest.
(6)The standard years for all the members of the group shall be the years nineteen hundred and forty-seven and nineteen hundred and forty-eight, the years nineteen hundred and forty-seven and nineteen hundred and forty-nine or the years nineteen hundred and forty-eight and nineteen hundred and forty-nine, as the principal member may elect:
Provided that—
(a)where that one of the trades or businesses of the members of the group which commenced the earliest commenced after the first day of January, nineteen hundred and forty-seven but before the first day of January, nineteen hundred and forty-eight the principal member may elect that the standard years for all the members of the group shall be the year beginning with the commencement of the said trade or business and the subsequent year ;
(b)where that one of the trades or businesses of the members of the group which commenced the earliest commenced after the first day of January, nineteen hundred and forty-seven, and either no election is made under paragraph (a) of this proviso or the said trade or business commenced on or after the first day of January, nineteen hundred and forty-eight, the standard years for all the members of the group shall be the years nineteen hundred and forty-eight and nineteen hundred and forty-nine ;
(c)where the condition specified in the proviso to subsection (5) of section thirty-eight of this Act would be fulfilled, as respects the trades or businesses of all the members of the group, if they were one trade or business of one body corporate and the principal member so elects, or where an election is made under paragraph (c) of sub-paragraph (1) of paragraph 8 of this Schedule, the standard years for all the members of the group shall be the years nineteen hundred and forty-nine and nineteen hundred and fifty.
(7)The relevant date referred to in sub-paragraph (3) of this paragraph is—
(a)where an election is made under paragraph (b) or paragraph (c) of sub-paragraph (4) of this paragraph, the first day of January immediately following the year specified in the election;
(b)where an election is made under paragraph (a) of the last preceding sub-paragraph, the date falling six months after the date of the commencement of the trade or business referred to therein ;
(c)where no such election as aforesaid is made and that one of the trades or businesses of the members of the group which commenced the earliest commenced on or after the first day of January, nineteen hundred and forty-eight, whichever of the following two dates is the later, that is to say, the first day of July, nineteen hundred and forty-eight, or the date of the commencement of that trade or business ;
and in any other case the date specified in the Table set out in subsection (6) of section thirty-eight of this Act opposite the years which, in the case of the members of the group, are the standard years.
(8)Where, in the chargeable accounting period, the directors of the principal member have a controlling interest therein, sub-paragraph (4) of this paragraph shall have effect as if the references to eight per cent. were references to ten per cent. and the reference to ten per cent. were a reference to twelve per cent.:
Provided that where the directors of the principal member have a controlling interest therein during part only of the chargeable accounting period, the increase provided for by this sub-paragraph in the said percentages shall be reduced so as to bear to the full amount of the increase the same proportion as the length of that part of the chargeable accounting period bears to the full length of the chargeable accounting period.
(9)Where, before the beginning of the period of charge to the excess profits levy, there has been a transfer to or by a member of the group to which paragraph 1 of the Eleventh Schedule to this Act applies, the reference in sub-paragraph (1) of this paragraph to the profits or losses of the members of the group shall be construed as including a reference to any profits and losses which, under the said paragraph 1, are to be treated for the purposes therein mentioned as profits and losses of that member and as not including any profits or losses which, under the said paragraph 1, are to be treated for those purposes as not being profits or losses of that member.
(10)In this paragraph " profits for the standard years " and " loss for the standard years " mean, in relation to a member of the group the trade or business of which commenced after the beginning of the first standard year, profits or a loss for so much of the standard years as follows the commencement of its trade or business.
10Section forty of this Act shall apply in relation to a member of a group as if references to borrowed money did not include references to money borrowed from a member of the group:
Provided that if, before the end of a chargeable accounting period, the nexus has been severed between two members of a group, this paragraph shall not apply to them in relation to that period.
11Sections forty, fifty and fifty-six of this Act shall apply in relation to a member of a group as if—
(a)references to profits for the standard years were references to its share in the composite figure determined under sub-paragraph (1) of paragraph 9 of this Schedule;
(b)references to an election under paragraph (a), (b) or (c) of subsection (4) of section thirty-eight of this Act included respectively a reference to an election under paragraph (a), (b) or (c) of sub-paragraph (4) of paragraph 9 of this Schedule ; and
(c)references to an election under section forty-one of this Act included a reference to an election under sub-paragraph (3) of paragraph 8 of this Schedule.
12(1)Subject to the provisions of sub-paragraph (3) of this paragraph, where any member of the group—
(a)pays to any other member thereof any sum in cash in respect of any issue of share capital of that other member; or
(b)pays to any person any sum in cash as the price of any share capital of any other member of the group purchased by it,
then, without prejudice to the application of subsection (2) of section thirty-eight of this Act, or, as the case may be, of subsections (3) to (6) of section thirty-nine of this Act, to the said other member, the first-mentioned member shall be deemed for the purposes of subsection (2) of the said section thirty-eight, or, as the case may be, of subsections (3) to (6) of the said section thirty-nine, to have paid that sum in cash by way of repayment of its own share capital.
(2)Subject to the provisions of sub-paragraph (3) of this paragraph, where any member of the group—
(a)receives from any other member of the group any sum in cash by way of repayment of share capital of the last-mentioned member; or
(b)receives from any other person any sum in cash as, or as part of, the price of any share capital of any other member of the group sold by it,
then, without prejudice to the application of subsection (2) of section thirty-eight of this Act, or, as the case may be, of subsections (3) to (6) of section thirty-nine of this Act, to the said other member, the first-mentioned member shall be deemed for the purposes of subsection (2) of the said section thirty-eight or, as the case may be, of subsections (3) to (6) of the said section thirty-nine, to have received that sum in cash in respect of an issue of its own share capital.
(3)The preceding provisions of this paragraph shall not affect the computation of the standard profits for a full year of a member of a group for any chargeable accounting period if, before the end of that chargeable accounting period, there has been a severance of the nexus between it and the principal member of the group.
13In computing the profits and losses of a member of a group for the purposes of the excess profits levy—
(a)dividends received from any other member of the group shall be left out of account, except for the purpose of computing the undistributed profits or over-distributions of profits of the member receiving the dividends ; and
(b)any election by the principal member under paragraph (a), paragraph (b) or paragraph (c) of sub-paragraph (4) of paragraph 9 of this Schedule shall be deemed, for the purposes of paragraph 12 of the Ninth Schedule to this Act, to be an election by each of the members of the group under paragraph (a), paragraph (b) or paragraph (c), as the case may be, of subsection (4) of section thirty-eight of this Act, and the proviso to the said paragraph 12 shall, with any necessary adaptations, have effect accordingly.
14A member of a group shall be deemed for the purposes of the provisions of this Act relating to the excess profits levy to be a body corporate the directors whereof have a controlling interest therein during such period, and during such period only, as the principal member of the group is such a body corporate:
Provided that this paragraph shall not apply to a member of a group in relation to any chargeable accounting period if, before the end of that period, there has been a severance of the nexus between that member and the principal member of the group.
15Any election under sub-paragraph (2) of paragraph 3 or sub-paragraph (2) of paragraph 4 of the Ninth Schedule to this Act shall be exerciseable only as respects all members of the group and shall be so exerciseable only by the principal member of the group.
16Where, in any chargeable accounting period, the trade or business of any member of a group consists of or includes the working of such a source of mineral deposits as is mentioned in section fifty-five of this Act, the preceding provisions of this Schedule relating to the ascertainment of the standard profits for a full year of the members of the group shall, in relation to that chargeable accounting period and any chargeable accounting period of any other member of the group which coincides with or falls within that chargeable accounting period, have effect subject to such modifications as may appear to the Commissioners, or, on appeal, to the Special Commissioners, to be necessary to secure the just operation of the said section fifty-five in relation to the members of the group and, in particular, to secure that, as nearly as may be, the said section fifty-five operates in relation to the members of the group as if all their trades or businesses were one trade or business of one body corporate.
17(1)Subject to the provisions of this paragraph, every assessment to the excess profits levy made in respect of the profits of a member of a group shall be made on the principal member of the group but the tax shall, in the case of an assessment in respect of the profits of any other member, be recoverable from the principal member and that other member jointly and severally.
(2)If the Commissioners think fit and the principal member does not object, one assessment for any particular period may be made on the principal member in respect of the profits of all or any of the members of the group, but the amount of tax, and the incidence of the burden of tax, shall not be affected, and the Commissioners may in their discretion discharge any such assessment, and make separate assessments in lieu thereof.
(3)Nothing in this paragraph applies to the profits of a member of a group other than the principal member for any chargeable accounting period if, before the end of that chargeable accounting period, there has been a severance of the nexus between that member and the principal member of the group.
18(1)Subject to the provisions of this paragraph, any deficiency of profits of any member of a group for any chargeable accounting period shall be applied as follows, that is to say—
(a)first, in reducing the profits chargeable to the excess profits levy of that member for previous chargeable accounting periods;
(b)as to the balance, if any, in reducing other profits on which the principal member of the group is assessable to the excess profits levy, being profits for chargeable accounting periods ending not later than the end of the first-mentioned chargeable accounting period; and
(c)as to the balance, if any, in reducing the profits chargeable to the excess profits levy of the first-mentioned member for the next chargeable accounting period; and
(d)as to the balance, if any, in reducing other profits chargeable to the excess profits levy on which the principal member is assessable for chargeable accounting periods ending not later than the said next chargeable accounting period ;
and so on, and relief from the excess profits levy shall be given accordingly:
Provided that where the nexus has been severed as between the principal member and another member of the group—
(i)any deficiency of profits of that other member for a chargeable accounting period ending at or before the severance shall not be applied in reducing the profits of that other member for any chargeable accounting period ending after the severance; and
(ii)any deficiency of profits of that other member for any chargeable accounting period ending after the severance shall not be applied in reducing any profits on which the principal member of the group is assessable.
(2)The references in this paragraph to profits on which the principal member of the group is assessable shall, in the case of such a group as is mentioned in paragraph 4 of this Schedule, be deemed to include references to any profits on which any member of the group was assessable for any chargeable accounting period beginning before the date referred to in that paragraph.
19(1)Section forty-three of this Act (which provides for an overriding limit on the amount charged by way of the excess profits levy) shall, subject to the following provisions of this paragraph, have effect in relation to the members of a group as if the profits of all the members of the group and the amounts payable by them by way of the excess profits levy belonged to or were payable by one body corporate, and any relief falling to be given under the said section forty-three shall be given to such of the members of the group as the principal member may determine.
(2)Where one or more but not all members of the group are such bodies as are mentioned in subsection (2) of the said section forty-three, such relief and adjustments (if any) shall be given or made under that section as are necessary to secure that the aggregate amount payable by all the members by way of the excess profits levy is reduced to, but not below, the sum of the following amounts—
(a)ten per cent. of the profits of the first-mentioned members for the whole period mentioned in subsection (1) of the said section forty-three ; and
(b)fifteen per cent. of the profits of the other members for the said period.
(3)Where the nexus has been severed between the principal member and another member of the group—
(a)this paragraph shall not apply to the profits of that other member for, or amounts payable by that other member by way of the excess profits levy for any chargeable accounting period of that other member ending after the severance ; and
(b)the relief given to that other member under the said section forty-three by virtue of this paragraph shall be equal to the relief which could be given to it if this paragraph did not apply to any profits of, or any amounts payable by way of the excess profits levy by, any member of the group for any chargeable accounting period ending after the severance,
(4)The reference, in this paragraph to profits on which the principal member of the group is assessable shall, in the case of such a group as is mentioned in paragraph 4 of this Schedule, be deemed to include a reference to any profits on which any member of the group was assessable for any chargeable accounting period beginning before the date referred to in that paragraph.
20(1)Where any sum is paid by the principal member of a group on account of the excess profits levy in respect of the profits of another member of the group, the principal member may recover the amount paid from the said other member:
Provided that where the recovery of any such sum from a member of the group would result in the burden in respect of the excess profits levy borne by that member for the chargeable accounting period in question and all previous chargeable accounting periods being greater than the burden in respect of the excess profits levy that would have fallen to be borne by it for that and the said previous chargeable accounting periods if sub-paragraph (6) of paragraph 13 and paragraphs 17 to 19 of this Schedule had not applied to the group, the amount recoverable shall be reduced by the amount of the excess.
(2)If the burden borne by any member of a group other than the principal member thereof in respect of the excess profits levy up to the end of any chargeable accounting period exceeds the burden that would have fallen to be borne by it in respect of the excess profits levy up to the end of that period if sub-paragraph (b) of paragraph 13 and paragraphs 17 to 19 of this Schedule had not applied to the group, the amount of the excess shall be recoverable by that member from the principal member of the group.
Section 71.
1Member of Queen Alexandra's Royal Naval Nursing Service or any reserve thereof.
2Member of the Women's Royal Naval Service or any reserve thereof.
3Woman medical or dental practitioner serving in the Royal Navy or any naval reserve.
4Member of the Auxiliary Territorial Service.
5Woman employed with the Royal Army Medical Corps or the Royal Army Dental Corps with relative rank as an officer.
6Member of the Women's Auxiliary Air Force.
7Woman employed with the Medical Branch or the Dental Branch of the Royal Air Force with relative rank as an officer.
8Member of the Voluntary Aid Detachments employed under the Admiralty, Army Council or Air Council.
Sections 2, 6, 71, 73, 76.
| Session and Chapter | Short Title | Extent of Repeal |
|---|---|---|
| 8 & 9 Geo. 6. c. 24. | The Finance Act, 1945. | Section two. |
| 11 & 12 Geo. 6. c. 49. | The Finance Act, 1948. | Paragraph (6) of subsection (3) of section twenty (but only from the coming into force of an order under subsection (4) of section nine of this Act); subsection (2) of section twenty-one. |
| 14 & 15 Geo. 6. c. 43. | The Finance Act, 1951. | In subsection (1) of section one the words from the beginning of the subsection to the end of paragraph (b), the word " and ", the word " said " and the proviso; subsection (2) of section one. |
| Session and Chapter | Short Title | Extent of Repeal |
|---|---|---|
| 25 & 26 Geo. 5. c. 24. | The Finance Act, 1935. | Section one. |
| 6 & 7 Geo. 6. c. 28. | The Finance Act, 1943. | Section six. |
| 9 & 10 Geo. 6. c. 64. | The Finance Act, 1946. | Section seven; subsection (3) of section eight. |
| 11 &12 Geo. 6. c. 49. | The Finance Act, 1948. | Section sixteen. |
| 14 Geo. 6. c. 15. | The Finance Act, 1950. | Paragraph (a) of subsection (3) of section fifteen; subsection (1) of section sixteen. |
| 14 & 15 Geo. 6. c. 43. | The Finance Act, 1951. | Section two; the First Schedule. |
| Session and Chapter | Short Title | Extent of Repeal |
|---|---|---|
| 9 & 10 Geo. 5. c. 32. | The Finance Act, 1919. | In section ten the words " or molasses, or in respect of the material from which any molasses is produced "; in the Second Schedule, the references in the first column to sugar, glucose, molasses and saccharin. |
| 14 & 15 Geo. 5. c. 21. | The Finance Act, 1924. | Section five. |
| 15 & 16 Geo. 5. c. 36. | The Finance Act, 1925. | Section eight and Part I of the Third Schedule. |
| 16 & 17 Geo. 5. c. 22. | The Finance Act, 1926. | Section seven. |
| 18 & 19 Geo. 5. c. 17. | The Finance Act, 1928. | Subsection (1) of section four from the words "and section eight" onwards; in Part I of the Second Schedule all the entries in the third column. |
| 22 & 23 Geo. 5. c. 25. | The Finance Act, 1932. | Subsection (2) of section two; section three; the Second Schedule. |
| 24 & 25 Geo. 5. c. 32. | The Finance Act, 1934. | Section one except paragraph (b) of the proviso to subsection (1) |
| 2 & 3 Geo. 6. c. 109. | The Finance (No. 2) Act, 1939. | In subsection (1) of section six the words "and excise", the words " and the amounts of the general preferential reductions " and paragraph (c); in the Fifth Schedule, in Part I the entry in the third column relating to saccharin and in Part III the whole entry relating to saccharin. |
| 11 & 12 Geo. 6. c. 49. | The Finance Act, 1948. | Section seven. |
| 12 & 13 Geo. 6. c. 47. | The Finance Act, .1949. | In section six, in subsection (1) the words " under section eight of the Finance Act, 1925 (which relates to Empire products)", and subsection (3). |
| 14 Geo. 6. c. 15. | The Finance Act, 1950. | Section eight. |
| Session and Chapter | Short Title | Extent of Repeal |
|---|---|---|
| 10 & 11 Geo. 6. c. 35. | The Finance Act, 1947. | Subsection (3) of section thirty-eight, as respects profits tax payable for chargeable accounting periods ending after the beginning of the year nineteen hundred and fifty-two. |
| 15 & 16 Geo. 6. & 1 Eliz. 2. c. 10. | The Income Tax Act, 1952. | Proviso (a) to subsection (3) of section one hundred and thirty-one; subsection (2) of section one hundred and thirty-four; section one hundred and forty-one, as respects profits tax for chargeable accounting periods ending after the beginning of the year nineteen hundred and fifty-two; in section three hundred and twenty-eight, in subsection (1) the words from "except so much " to " two hundred and ninety-six of this Act" and the proviso to subsection (2); section three hundred and forty-four; and, as respects profits tax far chargeable accounting periods ending after the beginning of the year nineteen hundred and fifty-two, subsection (7) of section four hundred and twenty-five. |
| Session and Chapter | Short Title | Extent of Repeal |
|---|---|---|
| 55 Geo. 3. c. 184. | The Stamp Act, 1815. | In the Schedule, in Part III, the exemption for testamentary instruments and inventories of common seamen, marines or soldiers. |
| 57 & 58 Vict. c. 30. | The Finance Act, 1894. | In section eight, in subsection (1), the words " and for the exemption of the property of common seamen, marines or soldiers who are slain or die in the service of Her Majesty ". |
| 63 & 64 Vict. c. 7. | The Finance Act, 1900. | Section fourteen. |
| 14 & 15 Geo. 5. c. 21. | The Finance Act, 1924. | Section thirty-eight. |
| Session and Chapter | Short Title | Extent of Repeal |
|---|---|---|
| 10 & 11 Geo. 6. c. 35. | The Finance Act, 1947. | Subsections (3) to (6) of section fifty-four. |
| Short Title | Session and Chapter |
|---|---|
| Theatres Act, 1843 | 6 & 7 Vict. c. 68. |
| Sinking Fund Act, 1875 | 38 & 39 Vict. c. 45. |
| Customs Consolidation Act, 1876 | 39 & 40 Vict. c. 36. |
| Stamp Act, 1891 | 54 & 55 Vict. c. 39. |
| Finance Act, 1895 | 58 & 59 Vict. c. 16. |
| Finance (1909-10) Act, 1910 | 10 Edw. 7. & 1 Geo; 5. c. 8. |
| Revenue Act, 1911 | 1 & 2 Geo. 5. c. 2. |
| Bankruptcy (Scotland) Act, 1913 | 3 & 4 Geo. 5. c. 20. |
| Bankruptcy Act, 1914 | 4 & 5 Geo. 5. c. 59. |
| Finance Act, 1919 | 9 & 10 Geo. 5. c. 32. |
| Roads Act, 1920 | 10 & 11 Geo. 5. c. 72. |
| Finance Act, 1921 | 11 & 12 Geo. 5. c. 32. |
| Finance Act, 1922 | 12 & 13 Geo. 5. c. 17. |
| Finance Act, 1923 | 13 & 14 Geo. 5. c. 14. |
| Finance Act, 1926 | 16 & 17 Geo. 5. c. 22. |
| Finance Act, 1928 | 18 & 19 Geo. 5. c. 17. |
| Import Duties Act, 1932 | 22 & 23 Geo. 5. c. 8. |
| Finance Act, 1934 | 24 & 25 Geo. 5. c. 32. |
| Public Health Act, 1936 | 26 Geo. 5. & 1 Edw. 8. c. 49. |
| Finance Act, 1937 | 1 Edw. 8 & 1 Geo. 6. c. 54. |
| Finance Act, 1938 | 1 & 2 Geo. 6. c. 46. |
| Finance Act, 1939 | 2 & 3 Geo. 6. c. 41. |
| Finance Act, 1940 | 3 & 4 Geo. 6. c. 29. |
| Finance (No. 2) Act, 1940 | 3 & 4 Geo. 6. c. 48. |
| Finance Act, 1941 | 4 & 5 Geo. 6. c. 30. |
| War Damage Act, 1943 | 6 & 7 Geo. 6. c. 21. |
| Finance Act, 1943 | 6 & 7 Geo. 6. c. 28. |
| Income Tax (Employments) Act, 1943 | 6 & 7 Geo. 6. c. 45. |
| Finance Act, 1944 | 7 & 8 Geo. 6. c. 23. |
| Finance Act, 1945 | 8 & 9 Geo. 6. c. 24. |
| Income Tax Act, 1945 | 8 & 9 Geo. 6. c. 32. |
| Water Act, 1945 | 8 & 9 Geo. 6. c. 42. |
| Finance (No. 2) Act, 1945 | 9 & 10 Geo. 6. c. 13. |
| Coal Industry Nationalisation Act, 1946 | 9 & 10 Geo. 6. c. 59. |
| Finance Act, 1946 | 9 & 10 Geo. 6. c. 64. |
| Finance Act, 1947 | 10 & 11 Geo. 6. c. 35. |
| Local Government (Scotland) Act, 1947 | 10 & 11 Geo. 6. c. 43. |
| Electricity Act, 1947 | 10 & 11 Geo. 6. c. 54. |
| Finance (No. 2) Act, 1947 | 11 & 12 Geo. 6. c. 9. |
| Companies Act, 1948 | 11 & 12 Geo. 6. c. 38. |
| Finance Act, 1948 | 11 & 12 Geo. 6. c. 49. |
| Gas Act, 1948 | 11 & 12 Geo. 6. c. 67. |
| Civil Defence Act, 1948 | 12, 13 & 14 Geo. 6. c. 5. |
| Finance Act, 1949 | 12, 13 & 14 Geo. 6. c. 47. |
| Profits Tax Act, 1949 | 12, 13 & 14 Geo. 6. c. 64. |
| Iron and Steel Act, 1949 | 12, 13 & 14 Geo. 6. c. 72. |
| Vehicles Excise Act, 1949 | 12, 13 & 14 Geo. 6. c. 89. |
| Finance Act, 1950 | 14 Geo. 6. c. 15. |
| Finance Act, 1951 | 14 & 15 Geo. 6. c. 43. |
| Income Tax Act, 1952 | 15 & 16 Geo. 6 S: 1 Eliz. 2. c. 10. |
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