Finance (No. 2) Act 2008
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Amendment of section 81B (equalisation reserves for credit insurance and reinsurance business of companies) of Principal Act. |
24.— (1) Section 81B of the Principal Act is amended— | |
(a) in subsection (1) by inserting the following before the definition of “ Reinsurance Regulations ”: | ||
“ ‘ credit insurance risks ’ means risks included in class 14 of Section A of the Annex to the First Council Directive 73/239/EEC of 24 July 1973 1 ; | ||
‘ Principal Regulations ’ means the European Communities (Non-Life Insurance) Regulations 1976 ( S.I. No. 115 of 1976 ) as amended from time to time;”, | ||
(b) by inserting the following after subsection (1): | ||
“(1A) This section applies to— | ||
(a) an insurance company whose business has at any time been, or included, business in respect of which it was required, by virtue of Regulation 24 of the Reinsurance Regulations, to establish and maintain an equalisation reserve, or | ||
(b) an insurance company which is underwriting credit insurance risks and which is required by Article 14(8) of the Principal Regulations to set up an equalisation reserve.”, | ||
(c) by substituting the following for subsection (2): | ||
“(2) Subject to the following provisions of this section, full account shall be taken of all amounts in accordance with the rules in subsection (3) in making any computation, for the purposes of Case I of Schedule D, of the profits or losses for any accounting period of an insurance company to which this section applies.”, | ||
(d) in subsection (3)(c) by inserting “or the Principal Regulations” after “the Reinsurance Regulations”, | ||
(e) in subsection (4)— | ||
(i) by inserting “or Article 14(8) of the Principal Regulations” after “Regulation 24 of the Reinsurance Regulations”, and | ||
(ii) in paragraph (b) by inserting “or the Principal Regulations” after “Reinsurance Regulations”, | ||
(f) in subsection (5) by inserting “or the Principal Regulations” after “Reinsurance Regulations” in both places where it occurs, and | ||
(g) in subsection (7) by inserting “or the Principal Regulations” after “Reinsurance Regulations”. | ||
(2) This section is deemed to have effect as on and from 15 July 2006. | ||