Capital Acquisitions Tax Consolidation Act 2003

When interest in assurance policy becomes interest in possession.

[CATA 1976 s32]

41.—(1) For the purposes of this Act, an interest in a policy of assurance on human life is deemed to become an interest in possession when either—

(a) the policy matures, or

(b) prior to the maturing of the policy, the policy is surrendered to the insurer for a consideration in money or money's worth, but if during the currency of the policy the insurer makes a payment of money or money's worth, in full or partial discharge of the policy, the interest is deemed to have come into possession to the extent of such payment.

(2) This section has effect in relation to a contract for a deferred annuity, and for the purposes of this section such a contract is deemed to mature on the date when the first instalment of the annuity is due.