- Latest available (Revised)
- Original (As enacted)
iBet uBet web content aggregator. Adding the entire web to your favor.
Link to original content: http://www.legislation.gov.uk/ukpga/2005/5/section/631
There are currently no known outstanding effects for the Income Tax (Trading and Other Income) Act 2005, Section 631.
Revised legislation carried on this site may not be fully up to date. At the current time any known changes or effects made by subsequent legislation have been applied to the text of the legislation you are viewing by the editorial team. Please see ‘Frequently Asked Questions’ for details regarding the timescales for which new effects are identified and recorded on this site.
(1)This section applies if—
(a)the trustees of a settlement retain or accumulate income arising under the settlement, and
(b)a payment is subsequently made in connection with the settlement to, or for the benefit of, [F3a child of the settlor who is unmarried or not in a civil partnership].
(2)The payment is treated for the purposes of section 629(1) as a payment of income, but only so far as there is retained or accumulated income available.
(3)For the purposes of subsection (1) a payment is made in connection with a settlement if it is made by virtue of or in consequence of—
(a)the settlement, or
(b)any enactment relating to the settlement.
(4)For the purposes of subsection (2) retained or accumulated income is available at any time when—
where—
A is the total amount of the income which has arisen under the settlement since it was made, and
B is the total amount of disregarded income.
(5)In subsection (4) “disregarded income” means any income arising under the settlement since it was made which has been—
(a)treated as income of the settlor,
(b)paid (whether as income or capital) to, or for the benefit of, a beneficiary other than [F4a relevant] child of the settlor,
(c)otherwise treated as the income of such a beneficiary,
(d)treated as income of an unmarried minor child of the settlor, and subject to income tax, in any of the tax years 1995-96, 1996-97 and 1997-98, or
(e)applied in meeting expenses of the trustees which—
(i)were properly chargeable to income, or
(ii)would have been so chargeable but for any express [F5terms of the settlement].
(6)For the purposes of subsection (5)(d), income arising under the settlement that is treated as income of the child is subject to income tax so far as it does not exceed the taxable amount.
(7)In subsection (6) “the taxable amount”, in relation to a tax year, means the amount by which—
where—
TI is the child's total income for income tax purposes, and
TAD is the total amount of allowances and deductions that may be set against the [F6the child's total income or net income at Step 2 or 3 of the calculation in section 23 of ITA 2007].
Textual Amendments
F3Words in s. 631(1)(b) substituted (5.12.2005) by The Tax and Civil Partnership Regulations 2005 (S.I. 2005/3229), regs. 1, 193(2)
F4Words in s. 631(5)(b) substituted (5.12.2005) by The Tax and Civil Partnership Regulations 2005 (S.I. 2005/3229), regs. 1, 193(3)
F5Words in s. 631(5)(e)(ii) substituted (retrospective to 6.4.2006) by Finance Act 2006 (c. 25), Sch. 13 para. 33(4)(5)
F6Words in s. 631(7) substituted (6.4.2007 with effect as stated in s. 1034(1) of the amending Act) by Income Tax Act 2007 (c. 3), ss. 1027, 1034, Sch. 1 para. 556 (with transitional provisions and savings in Sch. 2)
The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Whole Act you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.
Original (As Enacted or Made): The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.
Geographical Extent: Indicates the geographical area that this provision applies to. For further information see ‘Frequently Asked Questions’.
Show Timeline of Changes: See how this legislation has or could change over time. Turning this feature on will show extra navigation options to go to these specific points in time. Return to the latest available version by using the controls above in the What Version box.
Different options to open legislation in order to view more content on screen at once
Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.
Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:
This timeline shows the different points in time where a change occurred. The dates will coincide with the earliest date on which the change (e.g an insertion, a repeal or a substitution) that was applied came into force. The first date in the timeline will usually be the earliest date when the provision came into force. In some cases the first date is 01/02/1991 (or for Northern Ireland legislation 01/01/2006). This date is our basedate. No versions before this date are available. For further information see the Editorial Practice Guide and Glossary under Help.
Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:
Click 'View More' or select 'More Resources' tab for additional information including:
All content is available under the Open Government Licence v3.0 except where otherwise stated. This site additionally contains content derived from EUR-Lex, reused under the terms of the Commission Decision 2011/833/EU on the reuse of documents from the EU institutions. For more information see the EUR-Lex public statement on re-use.
