PART 2AMENDMENTS TO PRIMARY LEGISLATION

The Income and Corporation Taxes Act 1988 (c. 1)

Transfers of insurance business14

1

Amend section 12 (basis of, and periods for, assessment)13, as follows.

2

In subsection (7A) for the words from “there” to “1982” substitute “an insurance business transfer scheme has effect to transfer from a company to another person business which consists of the effecting or carrying out of contracts of long-term insurance”.

3

After subsection (7A) insert—

7B

In subsection (7A) above—

  • “contracts of long-term insurance” means contracts which fall within Part II of Schedule 1 to the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001; and

  • “insurance business transfer scheme” means a scheme falling within section 105 of the Financial Services and Markets Act 2000 and—

    1. a

      includes an excluded scheme falling within Case 2, 3 or 4 of subsection (3) of that section, but

    2. b

      does not include a scheme for the transfer of business carried on by one or members or former underwriting members of Lloyd's.

4

This Article has effect in relation to any transfer under a scheme falling within section 105 of the Financial Services and Markets Act 2000, including an excluded scheme falling within Case 2, 3 or 4 of subsection (3) of that section.