Finance Act, 1988

PART I

Income Tax, Corporation Tax, Capital Gains Tax and Pension Fund Levy

Chapter I

Income Tax

Amendment of provisions relating to exemption from income tax.

1.—As respects the year 1988-89 and subsequent years of assessment, the Finance Act, 1980 , is hereby amended—

(a) in subsection (2) of section 1, by the substitution of “£5,500” for “£5,300” (inserted by the Finance Act, 1985 ), and of “£2,750” for “£2,650” (inserted by the Finance Act, 1985 ), and

(b) in subsection (6) of section 2, by the substitution of “£6,500” for “£6,300” (inserted by the Finance Act, 1986 ), of “£7,600” for “£7,350” (inserted by the Finance Act, 1986 ), of “£3,250” for “£3,150” (inserted by the Finance Act, 1986 ), and of “£3,800” for “£3,675” (inserted by the Finance Act, 1986 ),

and the said subsections (2) and (6), as so amended, are set out in the Table to this section.

TABLE

(2) In this section “the specified amount” means—

(a) in a case where the individual would, apart from this section, be entitled to a deduction specified in section 138 (a) of the Income Tax Act, 1967 , £5,500, and

(b) in any other case, £2,750.

(6) In this section “the specified amount” means—

(a) in a case where the individual would, apart from this section, be entitled to a deduction specified in paragraph (a) of the said section 138, £6,500:

Provided that, if at any time during the year of assessment either the individual or his spouse was of the age of seventy-five years or upwards, “the specified amount” means £7,600;

(b) in any other case, £3,250:

Provided that, if at any time during the year of assessment the individual was of the age of seventy-five years or upwards, “the specified amount” means £3,800.