Finance (No. 2) Act 2013

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Life assurance policies and investment funds

30. (1) The Principal Act is amended in section 730F(1)—

(a) in paragraph (a)(ii) by substituting “41 per cent” for “36 per cent”, and

(b) in paragraph (b) by substituting “at the rate of 60 per cent” for “at a rate determined by the formula— (S + 36) per cent where S is the standard rate per cent (within the meaning of section 4)”.

(2) The Principal Act is amended in section 730J—

(a) in paragraph (a)(i)(I) by substituting “41 per cent” for “33 per cent”,

(b) in paragraph (a)(i)(II)(A) by substituting “at the rate of 60 per cent” for “at the rate determined by the formula— (S + 36) per cent where S is the standard rate per cent for the year of assessment in which the payment is made”,

(c) in paragraph (a)(i)(II)(B) by substituting “41 per cent” for “36 per cent”, and

(d) in paragraph (a)(ii)(I) by substituting “at the rate of 80 per cent” for “at the rate determined by the formula— (H + 33) per cent where H is a rate per cent determined in relation to the person by section 15 for the year of assessment in which the payment is made”.

(3) The Principal Act is amended in section 730K(1)—

(a) in paragraph (a) by substituting “at the rate of 60 per cent” for “at the rate determined by the formula— (S + 36) per cent where S is the standard rate per cent for the year of assessment in which the payment is made”, and

(b) in paragraph (b) by substituting “41 per cent” for “36 per cent”.

(4) The Principal Act is amended in Chapter 1A of Part 27—

(a) in section 739D(5A), in the formula in paragraph (b), by substituting “(G x 41)” for “(G x 36)”, and

(b) in section 739E(1)—

(i) in paragraph (a)(ii) by substituting “41 per cent” for “33 per cent”,

(ii) in paragraph (b)(ii) by substituting “41 per cent” for “36 per cent”, and

(iii) in paragraph (ba) by substituting “at the rate of 60 per cent” for “at a rate determined by the formula— (S + 36) per cent, where S is the standard rate per cent (within the meaning of section 4)”.

(5) The Principal Act is amended in Chapter 4 of Part 27—

(a) in section 747D(a)(i)(I)—

(i) in subclause (A) by substituting “at the rate of 60 per cent” for “at the rate determined by the formula— (S + 36) per cent where S is the standard rate per cent for the year of assessment in which the payment is made”, and

(ii) in subclause (B) by substituting “41 per cent” for “33 per cent”,

(b) in section 747D(a)(i)(II)—

(i) in subclause (A) by substituting “at the rate of 60 per cent” for “at the rate determined by the formula— (S + 36) per cent, where S is the standard rate per cent for the year of assessment in which the payment is made”, and

(ii) in subclause (B) by substituting “41 per cent” for “36 per cent”,

(c) in section 747D(a)(ii)(I) by substituting “at the rate of 80 per cent” for “at the rate determined by the formula— (H + 33) per cent, where H is the rate per cent determined in relation to the person by section 15 for the year of assessment in which the payment is made”, and

(d) in section 747E(1)(b)—

(i) in subparagraph (i) by substituting “at the rate of 60 per cent” for “at the rate determined by the formula— (S + 36) per cent, where S is the standard rate per cent for the year of assessment in which the payment is made”, and

(ii) in subparagraph (ii) by substituting “41 per cent” for “36 per cent”.

(6) (a) Subsection (1) applies and has effect as respects the happening of a chargeable event in relation to a life policy (within the meaning of Chapter 5 of Part 26 of the Principal Act) on or after 1 January 2014.

(b) Subsection (2) applies and has effect as respects the receipt by a person of a payment in respect of a foreign life policy (within the meaning of Chapter 6 of Part 26 of the Principal Act) on or after 1 January 2014.

(c) Subsection (3) applies and has effect as respects the disposal in whole or in part of a foreign life policy (within the meaning of Chapter 6 of Part 26 of the Principal Act) on or after 1 January 2014.

(d) Subsection (4) applies and has effect as respects the happening of a chargeable event in relation to an investment undertaking (within the meaning of section 739B(1) of the Principal Act) on or after 1 January 2014.

(e) Paragraphs (a) to (c) of subsection (5) apply and have effect as respects the receipt by a person of a payment in respect of a material interest in an offshore fund (within the meaning of Chapter 4 of Part 27 of the Principal Act) on or after 1 January 2014.

(f) Paragraph (d) of subsection (5) applies and has effect as respects the disposal in whole or in part by a person of a material interest in an offshore fund (within the meaning of Chapter 4 of Part 27 of the Principal Act) on or after 1 January 2014.