http://www.legislation.gov.uk/ukpga/2013/29/contents/enactedFinance Act 2013enKing's Printer of Acts of Parliament2024-03-26Finance Act 2013Sch. 43C para. 2Finance Act 2021Sch. 32 para. 13(4)(b)Finance Act 2013Sch. 22 para. 1(2)(3)The Pensions (Abolition of Lifetime Allowance Charge etc) (No. 2) Regulations 2024reg. 14reg. 1(2)(3)Finance Act 2013Sch. 45 para. 145Neonatal Care (Leave and Pay) Act 2023Sch. para. 58s. 3(3)Finance Act 2013PART 1Income Tax, Corporation Tax and Capital Gains TaxCHAPTER 1Charges, rates etcIncome tax1Charge for 2013-142Personal allowance for 2013-14 for those born after 5 April 19483Basic rate limit for 2013-14Corporation tax4Charge and main rate for financial year 20145Small profits rate and fractions for financial year 20136Main rate for financial year 2015Capital allowances7Temporary increase in annual investment allowanceCHAPTER 2Income tax: generalExemptions and reliefs8London Anniversary Games9Glasgow Commonwealth Games10Expenses of elected representatives11Exemption from income tax of contributions to pension schemes12Childcare exemptions: meaning of disabled child13Income tax exemption for universal credit14Tax advantaged employee share schemes15Abolition of tax relief for patent royalties16Limit on income tax reliefsTrade profits17Cash basis for small businesses18Deductions allowable at a fixed rateOther provisions19Employment income: duties performed in the UK and overseas20Remittance basis: exempt property21Payments on account22Arrangements made by intermediaries23Taxable benefit of cars: the appropriate percentage24Gains from contracts for life insurance etc25Qualifying insurance policies26Transfer of assets abroad27Payments of interest28Disguised interestCHAPTER 3Corporation tax: generalLosses, other reliefs and deductions29Restriction on surrender of losses: controlled foreign company cases30Loss relief surrenderable by non-UK resident established in EEA state31Arrangements for transfers of companies32Change in company ownership: company reconstructions33Change in company ownership: shell companies34Transfer of deductions35R&D expenditure credits36Relief for television production and video games developmentExemption from charge37Health service bodies: exemption38Chief constables etc (England and Wales): exemptionOther provisions39Real estate investment trusts: UK REITs which invest in other UK REITs40Corporation tax relief for employee share acquisitions etc41Derivative contracts: property total return swaps etc42Corporation tax: tax mismatch schemes43Tier two capital44Financing costs and income: group treasury companies45Condition for company to be an “investment trust”46Community amateur sports clubsCHAPTER 4Pensions47Lifetime allowance charge: power to amend the transitional provision in Part 2 of Schedule 18 to FA 2011 etc48Lifetime allowance charge: new standard lifetime allowance for the tax year 2014-15 and subsequent tax years49Annual allowance: new annual allowance for the tax year 2014-15 and subsequent tax years50Drawdown pensions and dependants’ drawdown pensions51Bridging pensions52Abolition of contracting out of state second pension: consequential amendments etc53Overseas pension schemes: general54Overseas pension schemes: information and inspection powersCHAPTER 5Other provisionsEmployee shareholder shares55Employee shareholder sharesSeed enterprise investment scheme56SEIS: income tax relief57SEIS: re-investment reliefDisincorporation58Disincorporation relief59Qualifying business transfer60Making a claim61Effect of disincorporation reliefCapital gains62Attribution of gains to members of non-resident companies63Heritage maintenance settlements64EMI options and entrepreneurs’ relief etc65Charge on certain high value disposals by companies etc66Currency used in tax calculations: chargeable gains and lossesCapital allowances67Allowances for energy-saving plant and machinery: Northern Ireland68Cars with low carbon dioxide emissions69Gas refuelling stations: extension of time limit for capital allowance70First-year allowance to be available for ships and railway assets71Restrictions on buying capital allowances72Hire cars for disabled persons73Contribution allowances: plant and machineryMiscellaneous74Community investment tax relief75Lease premium relief76Manufactured payments: stock lending arrangements77Manufactured payments: general78Relationship between rules prohibiting and allowing deductions79Close companiesPART 2OilDecommissioning relief agreements80Decommissioning relief agreements81Meaning of “decommissioning expenditure”82Annual report83Effect of claim on PRT84Terminal losses accruing by virtue of another’s default85Claims under agreement not to affect oil allowanceDecommissioning security settlements86Removal of IHT charges in respect of decommissioning security settlements87Loan relationships arising from decommissioning security settlementsDecommissioning expenditure etc88Decommissioning expenditure taken into account for PRT purposes89Miscellaneous amendments relating to decommissioningCapital allowances90Expenditure on decommissioning onshore installations91Expenditure on decommissioning certain redundant plant or machinery92Expenditure on site restoration93Restrictions on allowances for certain oil-related expenditurePART 3Annual tax on enveloped dwellingsThe charge to tax94Charge to tax95Entitlement to interests96Person liable97Liability of persons jointly entitled98Collective investment schemes: liability for and collection of tax99Amount of tax chargeable100Interim relief101Indexation of annual chargeable amounts102Taxable value103Section 102: “substantial” acquisitions and disposals104No double chargeAdjustment of amount charged105“Adjusted chargeable amount”106Adjustment of amount chargeableChargeable interests and “single-dwelling interest”107Chargeable interests108Meaning of “single-dwelling interest”109Different interests held in the same dwelling110Interests held by connected persons111Different interests held in the same dwelling: effect of reliefs etcMeaning of “dwelling”112Meaning of “dwelling”113Substantial performance of “off plan” purchase114Power to modify meaning of “use as a dwelling”115Parts of a greater whole116Dwelling in grounds of another dwelling117Dwellings in the same building118Section 117: supplementary119Terraces etcAcquisitions and disposals120Acquisitions and disposals of chargeable interests121Date of acquisition or disposal122Contract and conveyance: the purchaser123Contract and conveyance: the vendorNew dwellings, conversions, demolition etc124New dwellings125Dwellings produced from other dwellings126Demolition of a dwelling127Demolition without replacement128Demolition and replacement: new dwellings129Demolition and replacement: other cases130Conversion of dwelling for non-residential use131Damage to a dwellingReliefs132Effect of reliefs under sections 133 to 150133Property rental businesses134Rental property: preparation for sale, demolition etc135Non-qualifying occupation: look-forward and look-back136Meaning of “non-qualifying individual”137Dwellings opened to the public138Property developers139Property developers: exchange of dwellings140Property developers: supplementary141Property traders142Property traders: supplementary143Financial institutions acquiring dwellings in the course of lending144Section 143: supplementary145Occupation by certain employees or partners146Meaning of “qualifying employee” and “qualifying partner” in section 145147Meaning of “10% or greater share in a company”148Farmhouses149“Farm worker” and “former long-serving farm worker”150Providers of social housingExemptions151Charitable companies152Section 151: supplementary153Public bodies154Bodies established for national purposes155Dwelling conditionally exempt from inheritance taxPower to modify reliefs156Modification of reliefsAlternative property finance157Land sold to financial institution and leased to personAdministration and payment of tax158Responsibility for collection and management159Annual tax on enveloped dwellings return160Return of adjusted chargeable amount161Return to include self assessment162Returns, enquiries, assessments and other administrative matters163Payment of tax164Information and enforcement165Collection and recovery of tax etcApplication of provisions166Companies167PartnershipsSupplementary provisions168Miscellaneous amendments and transitory provision169Orders and regulationsInterpretation170Meaning of “chargeable day” and “within the charge”171References to the state of affairs “on” a day172Connected persons173Connected persons: cell companies174General interpretation of Part 3PART 4Excise duties and other taxesInheritance tax175Open- ended investment companies and authorised unit trusts176Treatment of liabilities for inheritance tax purposes177Election to be treated as domiciled in United Kingdom178Transfer to spouse or civil partner not domiciled in United KingdomFuel179Fuel duties: rates of duty and rebates from 1 April 2013Alcohol180Rates of alcoholic liquor dutiesTobacco181Rates of tobacco products duty182Meaning of “tobacco products”Gambling183Rates of gaming duty184Combined bingoAir passenger duty185Air passenger duty: rates of duty from 1 April 2013186Air passenger duty: miscellaneous provisionVehicle excise duty187VED rates for light passenger vehicles, light goods vehicles, motorcycles etc188Not exhibiting licence: period of grace189Vehicles not kept or used on public road190Vehicle licences for disabled peopleValue added tax191Repayments of value added tax to health service bodies192Valuation of certain supplies of fuel193Reduced rate for energy-saving materialsStamp duty land tax194Pre-completion transactions: existing cases195Pre-completion transactions196Relief from higher rate197LeasesLandfill tax198Standard rate of landfill taxClimate change levy199Climate change levy: main rates200Climate change levy: supplies subject to carbon price support rates etcInsurance premium tax201Contracts that are not taxableBank levy202Bank levy: rates from 1 January 2013203Bank levy: rates from 1 January 2014204No deductions for UK or foreign bank levies205High quality liquid assetsPART 5General anti-abuse rule206General anti-abuse rule207Meaning of “tax arrangements” and “abusive”208Meaning of “tax advantage”209Counteracting the tax advantages210Consequential relieving adjustments211Proceedings before a court or tribunal212Relationship between the GAAR and priority rules213Consequential amendment214Interpretation of Part 5215Commencement and transitional provisionPART 6Other provisionsTrusts216Trusts with vulnerable beneficiaryUnit trusts217Unauthorised unit trustsResidence218Statutory residence test219Ordinary residenceInternational matters220Controlled foreign companies etc221Agreement between UK and Switzerland222International agreements to improve tax complianceDisclosure223Disclosure of tax avoidance schemesPowers224Powers under Proceeds of Crime Act 2002225Definition of “goods” for certain customs purposes226Power to detain goods227Penalty instead of forfeiture of larger ships228Data-gathering from merchant acquirers etcPayment229Corporation tax: deferral of payment of exit charge230Penalties: late filing, late payment and errors231Overpayment relief: generally prevailing practice exclusion and EU law232Overpayment relief: time limit for claimsAdministration233Self assessment: withdrawal of notice to file etcInterim remedies234Restrictions on interim payments in proceedings relating to taxation mattersPART 7Final provisions235Interpretation236Short titleSCHEDULESSCHEDULE 1Annual investment allowance: periods straddling 1 January 2013 or 1 January 20151Chargeable periods which straddle 1 January 20132Straddling period beginning before the relevant date3First straddling period beginning on or after the relevant date4Chargeable periods which straddle 1 January 20155Operation of annual investment allowance where restrictions applySCHEDULE 2Tax advantaged employee share schemesPART 1Retirement of participants1Introduction2Share incentive plans3In Part 4 of Schedule 2 (types of shares that...4Part 11 of Schedule 2 (supplementary provisions) is amended as...5Omit paragraph 98 (meaning of “specified retirement age”). 6In paragraph 100 (index of defined expressions) omit the entry...7SAYE option schemes8In paragraph 27 (introduction) in sub-paragraph (1)— 9In paragraph 30 (time for exercising options) in sub-paragraph (2)(a)—...10Omit paragraph 31 (requirement to have a “specified age”). 11Omit paragraph 33 (exercise of options: reaching specified age without...12In paragraph 34 (exercise of options: scheme-related employment ends) in...13In Part 9 of Schedule 3 (supplementary provisions) in paragraph...14CSOP schemes15In Part 8 of Schedule 4 (supplementary provisions) omit paragraph...16Transitional provision17(1) A SIP, SAYE option scheme or CSOP scheme approved...PART 2“Good leavers” (other than retirees)18Introduction19Share incentive plans20(1) In Part 5 of Schedule 2 (free shares) in...21SAYE option schemes22Part 6 of Schedule 3 (requirements etc relating to share...23(1) Paragraph 34 (exercise of options: scheme-related employment ends) is...24(1) Paragraph 37 (exercise of options: company events) is amended...25(1) In Part 7 of Schedule 3 (exercise of share...26CSOP schemes27Part 5 of Schedule 4 (requirements etc relating to share...28In paragraph 21 (introduction) in sub-paragraph (2)— 29After paragraph 25 insert— Exercise of options: company events (1) The scheme may provide that share options relating to...30(1) In Part 6 of Schedule 4 (exercise of share...31Enterprise management incentivesPART 3Material interest rules32Introduction33Share incentive plans34In paragraph 13 (introduction)— (a) after the entry for paragraph...35In paragraph 14 (time of eligibility to participate) in sub-paragraph...36Omit paragraphs 19 to 24 (the “no material interest” requirement)....37In Part 11 of Schedule 2 (supplementary provisions) in paragraph...38(1) The amendments made by paragraphs 33 to 37 above...39SAYE option schemes40In paragraph 9 (introduction) omit the entry for paragraph 11...41Omit paragraphs 11 to 16 (the “no material interest” requirement)....42In Part 9 of Schedule 3 (supplementary provisions) in paragraph...43(1) The amendments made by paragraphs 39 to 42 above...44CSOP schemesPART 4Restricted shares45Introduction46Share incentive plans47In paragraph 25 (introduction) in sub-paragraph (1)— 48Omit paragraphs 30 to 33 (only certain kinds of restrictions...49In Part 5 of Schedule 2 (free shares) in paragraph...50In Part 6 of Schedule 2 (partnership shares) in paragraph...51In Part 7 of Schedule 2 (matching shares) in paragraph...52In Part 9 of Schedule 2 (trustees) in paragraph 75...53(1) In Part 10 of Schedule 2 (approval of plans)...54Part 11 of Schedule 2 (supplementary provision) is amended as...55In paragraph 92 (determination of market value) for sub-paragraph (2)...56In paragraph 99 (minor definitions) after sub-paragraph (3) insert— 57In paragraph 100 (index of defined expressions) at the appropriate...58(1) The amendments made by paragraphs 46 to 48 and...59SAYE option schemes60In paragraph 17 (introduction) in sub-paragraph (1)— 61Omit paragraph 21 (only certain kinds of restrictions allowed). 62In Part 6 of Schedule 3 (requirements etc relating to...63In Part 7 of Schedule 3 (exchange of share options)...64Part 9 of Schedule 3 (supplementary provisions) is amended as...65In paragraph 48 (minor definitions) after sub-paragraph (2) insert— 66In paragraph 49 (index of defined expressions) at the appropriate...67(1) The amendments made by paragraphs 59 to 62 above...68CSOP schemes69Part 4 of Schedule 4 (shares to which schemes can...70In paragraph 15 (introduction)— (a) after the entry for paragraph...71Omit paragraph 19 (only certain kinds of restrictions allowed). 72In Part 5 of Schedule 4 (requirements etc relating to...73In Part 6 of Schedule 4 (exchange of share options)...74Part 8 of Schedule 4 (supplementary provisions) is amended as...75In paragraph 36 (minor definitions) after sub-paragraph (2) insert— 76In paragraph 37 (index of defined expressions) at the appropriate...77(1) The amendment made by paragraph 68 above has effect...PART 5Share incentive plans: partnership shares78Schedule 2 to ITEPA 2003 is amended as follows. 79(1) In Part 6 (partnership shares) paragraph 52 (application of...80In Part 9 (trustees) in paragraph 75 (duty to give...81(1) The amendments made by paragraphs 79 and 80 above...PART 6Share incentive plans: dividend shares82Introduction83Company’s power to direct reinvestment of cash dividends84In paragraph 68 (reinvestment: amounts to be carried forward) for...85In paragraph 69 (cash dividends with no requirement to reinvest)...86(1) A SIP approved before the day on which this...87Removal of limit on amount reinvested88Omit paragraph 64 (limit on amount reinvested). 89(1) The amendments made by paragraphs 87 and 88 above...90Amounts to be carried forwardPART 7Share incentive plans: employee share ownership trusts91Part 9 of Schedule 2 to ITEPA 2003 (trustees) is...92In paragraph 70 (introduction) in sub-paragraph (2)— 93(1) Omit paragraph 78 (acquisition of shares from employee share...PART 8Enterprise management incentives: consequences of disqualifying events94(1) In section 532 of ITEPA 2003 (modified tax consequences...SCHEDULE 3Limit on income tax reliefs1The limit2Consequential amendments3Commencement and transitional provision4(1) Sub-paragraph (2) applies to a claim which relates to...5In section 24A(6)(d) of ITA 2007 (as inserted by paragraph...SCHEDULE 4Cash basis for small businessesPART 1Main provisions1Introductory2Eligibility to calculate profits on cash basis3In section 25(3) (exception to requirement to use generally accepted...4After section 25 insert— Cash basis for small businesses (1) A person who is or has been carrying on...5After Chapter 3 insert— CHAPTER 3A Trade profits: cash basis...6Rules restricting deductions7After section 32 insert— Cash basis accounting Application of Chapter...8After section 33 insert— Cash basis: capital expenditure (1) In calculating the profits of a trade on the...9In section 38 (restriction of deductions in respect of employee...10Before section 52 (and after the heading “Interest payments”) insert—...11(1) Section 55A (expenditure on integral features) is amended as...12Rules allowing deductions13After section 56 insert— Cash basis accounting Application of Chapter...14After section 57A insert— Cash basis: interest payments Cash basis:...15In section 58 (incidental costs of obtaining finance), in subsection...16In section 72 (payroll deduction schemes: contributions to agents’ expenses),...17In section 94A (costs of setting up SAYE option scheme...18Receipts19After section 95 insert— Cash basis accounting Application of Chapter...20After section 96 insert— Cash basis: capital receipts (1) This section applies if— (a) the whole or part...21After section 97 insert— Cash basis: value of stock and...22(1) Section 105 (industrial development grants) is amended as follows....23Amounts not reflecting commercial transactions24Herd basis rules25Sound recordings26Telecommunication rights27Long funding leases28Specific trades29Changes in trading stock30Unremittable amounts31Disposal and acquisition of know-how32Averaging profits of farmers and creative artists33Compensation for compulsory slaughter of animal34Oil activities35Adjustment income36After section 227 insert— Application of Chapter where cash basis...37After section 239 insert— Spreading of adjustment income on leaving...38Adjustments for capital allowances39Post-cessation receipts40Rent-a-room relief41Qualifying care relief42In section 805 (meaning of “qualifying care receipts”), after subsection...43In section 820 (periods of account not ending on 5th...PART 2Consequential amendments44TMA 197045TCGA 199246CAA 200147In section 59 of CAA 2001 (unrelieved qualifying expenditure), after...48In Chapter 5 of Part 2 of CAA 2001 (plant...49ITTOIA 200550In section 56 of ITTOIA 2005 (rules allowing deductions: professions...51Omit section 160 of ITTOIA 2005 (cash basis of calculation...52(1) Chapter 17 of Part 2 of ITTOIA 2005 (adjustment...53In Part 2 of Schedule 4 to ITTOIA 2005 (index...54ITA 200755(1) Chapter 1 of Part 8 of ITA 2007 (relief...PART 3Commencement and transitional provision56Subject to paragraph 57, the amendments made by this Schedule...57(1) In a case where— (a) the profits of a...SCHEDULE 5Deductions allowable at a fixed rate1Part 2 of ITTOIA 2005 (trading income) is amended as...2After Chapter 5 insert— CHAPTER 5A Trade profits: deductions allowable...3In section 31 (relationship between rules prohibiting and allowing deductions),...4In Chapter 18 (post-cessation receipts), in section 254 (allowable deductions),...5(1) Part 2 of CAA 2001 (plant and machinery allowances)...6The amendments made by this Schedule have effect for the...SCHEDULE 6Employment income: duties performed in the UK and overseasPART 1Apportionment of earnings1Part 2 of ITEPA 2003 (employment income: charge to tax)...2In section 15 (earnings for year when employee UK resident),...3In Chapter 5 (taxable earnings: remittance basis rules and rules...PART 2Remittance basis of taxation: special mixed fund rules4Chapter A1 of Part 14 of ITA 2007 (remittance basis)...5In section 809Q (sections 809L and 809P: transfers from mixed...6After section 809R insert— Special mixed fund rules for certain...PART 3Commencement7The amendments made by Part 1 of this Schedule have...8The amendments made by Part 2 of this Schedule have...SCHEDULE 7Remittance basis: exempt property1Chapter A1 of Part 14 of ITA 2007 (remittance basis)...2In section 809X(3) (exempt property: public access rule), for “sections...3(1) Section 809Y (property that ceases to be exempt property...4After section 809YE insert— Exception to section 809Y: compensation taken...5(1) Section 809Z (public access rule: general) is amended as...6Omit section 809Z1 (public access rule: relevant VAT relief). 7(1) Section 809Z4 (temporary importation rule) is amended as follows....8In section 809Z6 (exempt property: other interpretation), after subsection (4)...9The amendments made by paragraphs 3, 4, 5(4), 7(2), (3)(b)...10The other amendments made by this Schedule have effect— 11In the case of property that falls within paragraph 10(b)...SCHEDULE 8Gains from contracts for life insurance etc1Chapter 9 of Part 4 of ITTOIA 2005 (gains from...2In section 476 (special rules: foreign policies) in subsection (2)—...3For section 528 substitute— Reduction in amount charged on basis...4Omit section 529 (exceptions to section 528). 5(1) Section 536 (top slicing relieved liability: one chargeable event)...6In section 552 of ICTA (information: duty of insurers) after...7(1) The amendments made by this Schedule have effect in...SCHEDULE 9Qualifying insurance policiesPART 1Amendments of Schedule 15 to ICTA etc1Schedule 15 to ICTA (qualifying insurance policies) is amended as...2Before Part 1 insert— PART A1 Premium limit for qualifying...3At the beginning of Part 1 (qualifying conditions) insert— RULES...4(1) Paragraph 17 (substitutions) is amended as follows. 5In paragraph 25 (application of paragraph 17 in cases involving...6(1) In section 55 of FA 1995 (qualifying life insurance...PART 2Restricted relief qualifying policies7Chapter 9 of Part 4 of ITTOIA 2005 (gains from...8After section 463 insert— Restricted relief qualifying policies: disapplication of...9In section 485 (disregard of certain events in relation to...PART 3Information powers10After section 552ZA of ICTA insert— Regulations in relation to...11In section 552B of ICTA (duties of overseas insurers’ tax...12In section 98 of TMA 1970 (special returns etc), in...SCHEDULE 10Transfer of assets abroadPART 1Introduction1Chapter 2 of Part 13 of ITA 2007 (tax avoidance:...PART 2New exemption for genuine transactions etc2(1) Section 718 (meaning of “person abroad” etc) is amended...3In section 720 (charge to tax on income treated as...4In section 727 (charge to tax on income treated as...5In section 731 (charge to tax on income treated as...6(1) Section 736 (exemptions: introduction) is amended as follows. 7After section 742 insert— Post-5 April 2012 transactions: exemption for...8In section 751 (the Tribunal’s jurisdiction on appeals) after paragraph...9(1) The amendments made by paragraph 2 above have effect...PART 3Amendments relating to the charges under sections 720 and 72710Main provision11(1) Section 724 (special rules where benefit provided out of...12(1) Section 725 (reduction in amount charged where controlled foreign...13In section 726 (non-UK domiciled individuals to whom remittance basis...14(1) Section 728 (individuals receiving capital sums as a result...15In section 730 (non-UK domiciled individuals to whom remittance basis...16(1) Section 743 (no duplication of charges) is amended as...17(1) Section 744 (meaning of taking income into account in...18(1) Section 745 (rates of tax applicable to income charged...19In section 746 (deductions and reliefs where individual charged under...20Commencement and transitional provision21(1) Sections 721(3C) and 728(2A) of ITA 2007 (as inserted...SCHEDULE 11Deduction of income tax at source etc1Deduction from interest payable on compensation2In section 874 (duty to deduct from certain payments of...3In section 875 (interest paid by building societies), at the...4In section 878 (interest paid by banks), after subsection (1)...5Deduction from yearly interest: specialties6Payment of interest in kind7In section 380 of that Act (funding bonds), in subsection...8In section 939 of ITA 2007 (duty to retain bonds...9In section 975 of that Act (statements about deduction of...10After section 975 of that Act insert— Statements about certain...11In section 413 of CTA 2009 (issue of funding bonds),...12CommencementSCHEDULE 12Disguised interest1Key amendments to Part 4 of ITTOIA 20052In section 365(1) (overview of Part 4)— 3After Chapter 2 insert— CHAPTER 2A Disguised interest Charge to...4Consequential amendments5TCGA 19926In section 37 (consideration chargeable to tax on income), after...7In section 39 (exclusion of expenditure by reference to tax...8Omit sections 148A to 148C (provision dealing with the capital...9(1) Section 263A (agreements for sale and repurchase of securities)...10After section 263A insert— Section 263A: interpretation (1) Subsections (2) to (7) apply for the purposes of...11(1) Section 263F (power to modify repo provisions: non-standard repo...12In section 263G (power to modify repo provisions: redemption arrangements)—...13ITTOIA 200514FA 200715ITA 200716CTA 201017FA 201018Commencement and transitional provisionSCHEDULE 13Change in ownership of shell company: restriction of relief1Amendments of Part 14 of CTA 20102Consequential amendments3CommencementSCHEDULE 14Transfer of deductions1New Part 14A of CTA 20102Consequential amendments3Commencement and transitional provisionSCHEDULE 15R&D expenditure creditsPART 1Amendments of CTA 20091In Part 3 of CTA 2009 (trading income), after Chapter...2(1) Part 13 of CTA 2009 (additional relief for expenditure...3In Schedule 4 to CTA 2009 (index of defined expressions),...PART 2Consequential amendments4FA 19985In paragraph 10(2) (other claims and elections to be included...6(1) Paragraph 52 (recovery of excessive repayments etc) is amended...7(1) Part 9A (claims for R&D tax relief) is amended...8FA 20079CTA 201010In section 357CG (adjustments in calculating profits of trade), in...11In section 357CK (deductions that are not routine deductions), in...PART 3Abolition of certain relief under Part 13 of CTA 200912Amendments of Part 13 of CTA 200913(1) Section 1039 (overview of Part) is amended as follows....14Omit Chapter 3 (relief for SMEs: R&D sub-contracted to SME)....15Omit Chapter 4 (relief for SMEs: subsidised and capped expenditure...16Omit Chapter 5 (relief for large companies). 17(1) Section 1081 (insurance companies treated as large companies) is...18Omit section 1082 (R&D expenditure of group companies). 19Omit section 1083 (refunds of expenditure treated as income chargeable...20(1) Section 1084 (artificially inflated claims for relief or tax...21In section 1119 (meaning of “small or medium-sized enterprise”), in...22In section 1133 (meaning of “sub-contractor” etc), in subsection (3),...23Consequential amendments24(1) CTA 2010 is amended as follows. 25In section 13 of F(No.3)A 2010, omit subsections (4) and...26(1) FA 2012 is amended as follows. PART 4Commencement and transitional provision27The amendments made by Parts 1 and 2 of this...28Subject to paragraph 29, the amendments made by Part 3...29(1) If a company claims an R&D expenditure credit under...SCHEDULE 16Tax relief for television productionPART 1Amendments of CTA 20091After Part 15 of CTA 2009 insert— PART 15A Television...PART 2Commencement2(1) Any power conferred on the Secretary of State or...3(1) The amendments made by this Schedule have effect in...SCHEDULE 17Tax relief for video games developmentPART 1Amendments of CTA 20091After Part 15A of CTA 2009 (inserted by Schedule 16...PART 2Commencement2(1) Any power conferred on the Secretary of State or...3(1) The amendments made by this Schedule have effect in...4(1) The Treasury may by order make such amendments of...SCHEDULE 18Television and video games tax relief: consequential amendments1ICTA2FA 19983(1) Paragraph 10 (other claims and elections to be included...4(1) Paragraph 52 (recovery of excessive overpayments etc) is amended...5(1) Part 9D (claims for film tax relief) is amended...6CAA 20017FA 20078CTA 20099In Part 8 of CTA 2009 (intangible fixed assets), in...10In Part 13 of CTA 2009 (additional relief for expenditure...11Part 15 of CTA 2009 (film tax relief) is amended...12In section 1195 (availability and overview of film tax relief),...13(1) Section 1206 (confidentiality of information) is amended as follows....14(1) In section 1310 of CTA 2009 (orders and regulations),...15(1) Schedule 4 to CTA 2009 (index of defined expressions)...16FA 200917CTA 201018(1) Section 357CG (adjustments in calculating profits of trade) is...19After section 357CH insert— Shortfall in qualifying expenditure (1) There is a shortfall in qualifying expenditure in relation...20(1) Section 357CK (deductions that are not routine deductions) is...21Consequential renumbering22Commencement23(1) The amendments made by this Schedule have effect in...SCHEDULE 19Real estate investment trusts: UK REITs which invest in other UK REITs1Part 12 of CTA 2010 (real estate investment trusts) is...2(1) Section 530 (condition as to distribution of profits) is...3(1) Section 530A (condition as to distribution of profits: increase...4(1) Section 531 (conditions as to balance of business) is...5(1) Section 548 (distributions: liability to tax) is amended as...6(1) Section 549 (distributions: supplementary) is amended as follows. 7After section 549 insert— Distributions from one UK REIT to...8In section 550 (attribution of distributions) in subsection (2)— 9In section 588 (joint ventures: effect of notice under section...10In section 589 (joint ventures: effect of notice under section...11In section 605 (property rental business: exclusion of business producing...12In Chapter 18 of Part 15 of ITA 2007 (deduction...13(1) The amendments made by paragraph 4(3) to (5) above...SCHEDULE 20Tax mismatch schemes1CTA 2010 is amended in accordance with paragraphs 2 to...2In section 1(4) (overview of Act), after paragraph (j) insert—...3After Part 21B insert— PART 21BA Tax mismatch schemes Losses...4In Schedule 4 (index of defined expressions), at the appropriate...5In section 231(8) of TIOPA 2010 (tax arbitrage: overview), for...6(1) The amendments made by this Schedule have effect in...SCHEDULE 21Community amateur sports clubs1Introductory2Meaning of “open to the whole community”3Meaning of “organised on an amateur basis”4Clubs consisting mainly of social members5After section 660 insert— Clubs consisting mainly of social members...6Exemptions7In section 663 (exemption from corporation tax for UK property...8Power to specify income condition9Commencement10(1) In a case where a club that was registered...SCHEDULE 22Transitional provision relating to reduction in standard lifetime allowance etcPART 1“Fixed protection 2014”1(1) This paragraph applies on or after 6 April 2014...2(1) The Commissioners for Her Majesty’s Revenue and Customs may...3(1) The Commissioners for Her Majesty’s Revenue and Customs may...4(1) Regulations under paragraph 2 or 3 may include supplementary...PART 2Other provision5Part 4 of FA 2004 (pension schemes) is amended as...6(1) Section 218 (standard lifetime allowance etc) is amended as...7(1) In section 219 (availability of individual’s lifetime allowance) after...8(1) Part 1 of Schedule 29 (authorised lump sums: lump...SCHEDULE 23Employee shareholder sharesPART 1Income tax treatment of employee shareholder shares1ITEPA 2003 is amended in accordance with paragraphs 2 to...2In section 19(2) (time of receipt of non-money earnings), at...3In Chapter 12 of Part 3, after section 226 insert—...4In consequence of the amendment made by paragraph 3— 5In section 428 (restricted securities: amount of charge on occurrence...6In section 431 (election for full or partial disapplication of...7In section 437 (convertible securities: adjustment of charge), in subsection...8In section 446B (charge on acquisition of securities with artificially...9In section 446T (securities acquired for less than market value:...10In section 446V (Chapter 3C to be additional to other...11In section 452 (shares in research institution spin-out companies: market...12In section 479 (securities options: amount of gain realised on...13In section 531 (enterprise management incentives: limitation of charge where...14(1) Section 532 (enterprise management incentives: consequences after disqualifying events)...15In section 554N (exclusions: other cases involving employment-related securities etc),...16In Chapter 3 of Part 4 of ITTOIA 2005 (tax...PART 2Capital gains tax exemption for employee shareholder shares17TCGA 1992 is amended as follows. 18In section 58(2) (spouses and civil partners: disposals excepted from...19(1) Section 149AA (restricted and convertible employment-related securities) is amended...20After section 236A insert— Employee shareholders Exemption for employee shareholder...PART 3Corporation tax21CTA 2009 is amended as follows. 22In section 1005 (definitions), at the appropriate place insert— “employee...23(1) Section 1009 (relief for employee share acquisitions: employee’s tax...24In section 1010(1) (acquisition of shares: relief if shares neither...25(1) Section 1011 (acquisition of shares: relief if shares are...26In section 1018(1) (acquisition of shares pursuant to option: relief...27In section 1019(1) (acquisition of shares pursuant to option: relief...28In section 1022 (takeover of company whose shares are subject...29In section 1026 (restricted shares: relief available on chargeable event),...30In section 1027 (restricted shares: relief available on death of...31In section 1033 (convertible securities: relief available on chargeable event),...32In section 1034 (convertible securities: relief available following death of...33(1) At the end of Chapter 6 of Part 12...34In section 1292 (provision of qualifying benefits), after subsection (6)...35In section 1293 (timing and amount of certain qualifying benefits),...36In Schedule 4 (index of definitions), at the appropriate place...PART 4Employment income exemption37In Chapter 11 of Part 4 of ITEPA (employment income:...PART 5Commencement38The amendments made by this Schedule come into force in...SCHEDULE 24EMI options and entrepreneurs’ relief etc1Entrepreneurs’ relief to apply to shares acquired under EMI option2Identification of shares acquired under EMI option3In section 105 (disposal on or before day of acquisition...4(1) Section 106A (identification of securities for capital gains tax...5Commencement and transitional provision6(1) This paragraph applies if, during the tax year 2012-13,...SCHEDULE 25Charge on certain high value disposals by companies etcPART 1Taxation of Chargeable Gains Act 19921TCGA 1992 is amended as follows. 2(1) Section 1 (the charge to tax) is amended as...3In section 2 (persons and gains chargeable to capital gains...4After section 2 insert— Persons chargeable to capital gains tax...5In section 4 (rates of capital gains tax), after subsection...6In section 8 (company’s total profits to include chargeable gains),...7In section 13 (attribution of gains to members of non-resident...8In section 16 (computation of losses), in subsection (3) after...9In Part 2, after Chapter 4 insert— CHAPTER 5 Computation...10After section 100 insert— Exemption for certain EEA UCITS (1) ATED-related gains accruing on relevant high value disposals made...11(1) Section 161 (appropriations to and from stock) is amended...12In section 171 (transfers within a group: general provisions), in...13After section 187 insert— Deemed disposal under section 185: ATED-related...14In section 271 (miscellaneous exemptions)— (a) in subsection (1A), after...15In section 288 (interpretation), in subsection (1), at the appropriate...16After Schedule 4 insert— SCHEDULE 4ZZA relevant high value disposals:...17In Schedule 7A (restriction on set-off of pre-entry losses), after...PART 2Other amendments18Corporation Tax Act 200919Corporation Tax Act 2010PART 3Commencement20The amendments made by this Schedule have effect in relation...SCHEDULE 26Restrictions on buying capital allowances1Introductory2Restrictions where certain conditions met3After section 212L insert— Limiting conditions Limiting conditions (1) The qualifying change meets one of the limiting conditions...4In consequence of the amendments made by paragraphs 2 and...5Extension of restrictions to other qualifying activities6(1) Section 212C (when there is a a qualifying change...7(1) Section 212I (relevant percentage share) is amended as follows....8In section 212J(1) (relevant excess of allowances) for “trade” substitute...9In section 212K(2), (3), (4) and (5) (relevant tax written-down...10In section 212N(2), (3) and (4) (old and new accounting...11(1) Section 212P (effect of excess on pools) is amended...12(1) Section 212Q (when there are postponed capital allowances) is...13CommencementSCHEDULE 27Community investment tax relief1Income tax: carry forward of relief2In section 335 (form and amount of CITR) in subsection...3After section 335 insert— Carry forward of CITR (1) This section applies if— (a) the investor is entitled...4In section 357 (attribution of CITR) after subsection (4) insert—...5(1) Section 361 (disposal of securities or shares during 5...6The amendments made by paragraphs 1 to 5 above have...7Corporation tax: carry forward of relief8(1) Section 220 (form and amount of CITR) is amended...9After section 220 insert— Carry forward of CITR (1) This section applies if— (a) the investor is entitled...10In section 240 (attribution of CITR) after subsection (4) insert—...11(1) Section 244 (disposal of securities or shares during 5...12The amendments made by paragraphs 7 to 11 above have...13Corporation tax: limit on State aidSCHEDULE 28Lease premium relief1Income tax2In section 61 (tenants occupying land for purposes of trade...3In section 292 (tenants under taxed leases treated as incurring...4The amendments made by paragraphs 2 and 3 above have...5Corporation tax6In section 63 (tenants occupying land for purposes of trade...7In section 232 (tenants under taxed leases treated as incurring...8The amendments made by paragraphs 6 and 7 above have...SCHEDULE 29Manufactured paymentsPART 1Income tax1Before Part 11A of ITA 2007 insert— PART 11ZA Manufactured...PART 2Corporation tax2Before Part 18 of CTA 2010 insert— PART 17A Manufactured...PART 3Consequential etc amendments3Introductory4TCGA 19925In section 263B (stock lending arrangements), for subsection (7) substitute—...6Omit section 263D (gains accruing to persons paying manufactured dividends)....7In section 263F (power to modify repo provisions: non-standard repo...8In section 263G (power to modify repo provisions: redemption arrangements)—...9In section 263H (sections 263F and 263G: supplementary provisions), in...10(1) Section 263I (powers about manufactured overseas dividend) is amended...11FA 200412ITTOIA 200513In section 397(6) (list of provisions to which the section...14In section 397A (tax credit for distributions of non-UK resident...15Omit section 397B (tax credits under section 397A: manufactured overseas...16ITA 200717In section 2 (overview of Act)— (a) omit subsection (11),...18Omit the following provisions (which deal with manufactured payments and...19In section 647 (makers of manufactured payments), for subsection (6)...20In section 658 (powers to modify: supplementary), for subsection (5)...21In section 918(1) (manufactured dividends on UK shares: REITs), for...22In section 919 (manufactured interest on UK securities)— 23Omit section 920 (foreign payers of manufactured interest: the reverse...24In section 921 (cases where interest on underlying securities paid...25Omit sections 922 to 925 (manufactured overseas dividends). 26In section 925A(2) (creditor repos), for “to 925” substitute “,...27Omit section 925B (debtor repos). 28In section 925C (actual payments ignored)— (a) in the heading,...29In section 926 (interpretation of Chapter 9 of Part 15),...30In Schedule 1 (minor and consequential amendments), omit paragraph 335(1)...31In Schedule 2 (transitionals and savings), omit paragraphs 108 to...32In Schedule 4 (index of defined expressions), omit the entries...33FA 200834CTA 200935In section 539 (introduction to Chapter about manufactured interest), omit...36In section 540(3) (manufactured interest treated as interest under loan...37In section 550 (which makes provision about the effect of...38In section 1221(1) (amounts treated as expenses of management), for...39In section 1248 (expenses in connection with arrangements for securing...40FA 200941CTA 201042In section 1 (overview of Act), in subsection (4)— 43Omit Part 17 (manufactured payments and repos). 44(1) Section 1109(5) (provisions to which section 1109 is subject)...45In Schedule 1 (minor and consequential amendments), omit paragraphs 259,...46In Schedule 2 (transitionals and savings), omit Part 17 (manufactured...47In Schedule 4 (index of defined expressions), omit the entries...48TIOPA 201049FA 201150FA 2012PART 4Commencement51The amendments made by Parts 1 and 2 of this...52The amendments made by Part 3 of this Schedule come...SCHEDULE 30Close companiesPART 1Amendments of Part 10 of CTA 20101Part 10 of CTA 2010 (close companies) is amended as...2(1) In section 438 (overview), after subsection (2) insert— 3(1) In section 455 (charge to tax in case of...4(1) In section 459(2) (application of other provisions where loan...5(1) After Chapter 3 insert— CHAPTER 3A Charge to tax:...6(1) After Chapter 3A insert— CHAPTER 3B Repayments and return...7In section 465 (power to obtain information), after “Chapter 3”...PART 2Other amendments8Taxes Management Act 19709In section 59E(11)(a) (provision as to when tax is due...10In section 59F(6)(a) (arrangements for paying tax on behalf of...11(1) Section 109 (corporation tax on close company in connection...12The amendments made by paragraphs 9 to 11 are treated...13Finance Act 199814Income Tax (Trading and Other Income) Act 2005SCHEDULE 31Miscellaneous amendments relating to decommissioningPART 1Abandonment guarantees and abandonment expenditure1Expenditure on abandonment guarantees2(1) In Part 8 of CTA 2010 (oil activities), Chapter...3Expenditure under abandonment guarantees4In Schedule 5 to OTA 1975 (allowance of expenditure), in...5(1) Part 3 of FA 1991 (oil taxation) is amended...6(1) In Part 2 of ITTOIA 2005 (trading income), Chapter...7(1) In Part 8 of CTA 2010 (oil activities), Chapter...8Reimbursement by defaulter in respect of abandonment expenditure9In Part 2 of ITTOIA 2005, omit section 225T (reimbursement...10In Part 8 of CTA 2010, omit section 298 (reimbursement...11Consequential amendments12In FA 2008, omit section 105. 13In Part 2 of ITTOIA 2005, Chapter 16A is amended...14(1) Section 225N is amended as follows. 15Omit sections 225P and 225Q. 16In section 225R (introduction to sections 225S and 225T)— 17In Part 8 of CTA 2010, Chapter 4 is amended...18(1) Section 292 is amended as follows. 19Omit sections 294 and 295. 20In section 296 (introduction to sections 297 and 298)— PART 2Receipts arising from decommissioning21Calculation of profits chargeable to corporation tax and supplementary charge22Calculation of profits chargeable to income taxPART 3Commencement23The amendments made by this Schedule have effect in relation...SCHEDULE 32Restrictions on allowances for certain oil-related expenditurePART 1Decommissioning expenditure1CAA 2001 is amended as follows. 2After section 165 insert— Restrictions on allowances: anti-avoidance Decommissioning services...3In section 26(5), at the end insert “and sections 165A...4In section 57(3), after the reference to section 70DA insert—...5In section 161C(3), for “and 164(4)” substitute “, 164(4) and...6In section 164(5A), at the end insert “and sections 165A...7After section 165(3) insert— (3A) Subsection (3) is subject to...8The amendments made by this Part have effect in relation...PART 2Expenditure on site restoration9After section 416ZB of CAA 2001 (inserted by section 92)...10In section 395(3) of that Act (provisions limiting “qualifying expenditure”)...11The amendments made by this Part have effect in relation...PART 3Amendments of TIOPA 201012Part 4 of TIOPA 2010 (transfer pricing) is amended as...13In section 147(6) (list of exceptions to the basic rule...14After section 206 insert— Modification of basic rule where allowances...15In section 213 (effect of Part 4 on capital allowances),...16The amendments made by this Part have effect for accounting...SCHEDULE 33Annual tax on enveloped dwellings: returns, enquiries, assessments and appealsPART 1Returns1Contents of return2In this Part of this Act— (a) references to the...3Amendment of return by chargeable person4Correction of return by HMRCPART 2Duty to keep and preserve records5Duty to keep and preserve records6Preservation of information etc7Penalty for failure to keep and preserve recordsPART 3Enquiry into return8Notice of enquiry9Scope of enquiry10Amendment of self assessment during enquiry to prevent loss of tax11Referral of questions to tribunal during enquiry12Withdrawal of notice of referral13Effect of referral on enquiry14Effect of determination15Tribunal to which referrals are made16Completion of enquiry17Direction to complete enquiryPART 4HMRC determination where no return delivered18Determination of tax chargeable if no return delivered19Determination to have effect as a self assessment20Determination superseded by actual self assessmentPART 5HMRC assessments21Assessment where loss of tax discovered22Assessment to recover excessive repayment of tax23References to “the taxpayer”24Conditions for making assessment where return has been delivered25Time limit for assessments26Losses brought about carelessly or deliberately27Assessment procedurePART 6Relief in case of overpaid tax or excessive assessment28Relief in case of double assessment29Claim for relief for overpaid tax etc30Cases in which Commissioners are not liable to give effect to a claim31Making a claim32The claimant: partnerships33Assessment of claimant in connection with claim34Contract settlementsPART 7Reviews and appeals35Right of appeal36Notice of appeal37Late notice of appeal38Steps that may be taken following notice of appeal39Right of appellant to require review40Offer of review by HMRC41Nature of review42Effect of conclusions of review43Notifying appeal to tribunal after appellant has required review44Notifying appeal to tribunal after HMRC have offered review45Interpretation of paragraphs 38 to 4446Settling of appeals by agreement47Appeal does not postpone recovery of tax48Application for payment of tax to be postponed49Agreement to postpone payment of tax50Assessments and self assessments51Tribunal determinations52Payment of tax where appeal has been determined53Payment of tax where there is a further appeal54References to “the tribunal”PART 8Supplementary55Application of Schedule in cases involving joint liability to tax56Partnerships57Meaning of “return”58Meaning of “filing date”SCHEDULE 34Annual tax on enveloped dwellings: information and enforcementPART 1Information and inspection powers1Schedule 36 to FA 2008 (information and inspection powers) is...2In paragraph 12A (powers to inspect property for valuation etc),...3After paragraph 21A insert— Annual tax on enveloped dwellings: taxpayer...4In paragraph 37 (partnerships), after sub-paragraph (2A) insert— 5In paragraph 63(1) (meaning of “tax” in the Schedule), after...PART 2Penalties6Errors in returns7Failure to make returns8Failure to make payments on time9(1) The Table in paragraph 1 of that Schedule is...10(1) Until paragraphs 2(13)(a) and 2(14)(a) of Schedule 11 to...11Until paragraph 3 of Schedule 11 to F(No. 3)A 2010...12Schedule 56 to FA 2009, as amended by paragraph 9,...SCHEDULE 35Annual tax on enveloped dwellings: miscellaneous amendments and transitory provisionPART 1Miscellaneous amendments1Provisional collection of taxes2Disclosure of tax avoidance schemes3Definitions relating to charitiesPART 2Transitory provision: the first chargeable period4In relation to the chargeable period beginning on 1 April...5In relation to the chargeable period beginning on 1 April...SCHEDULE 36Treatment of liabilities for inheritance tax purposes1IHTA 19842(1) Section 162 (liabilities) is amended as follows. 3After section 162 insert— Liabilities attributable to financing excluded property...4After section 175 (estate on death: liability to make future...5CommencementSCHEDULE 37Vehicle licences for disabled people1VERA 1994 is amended as follows. 2(1) Section 19 (rebates) is amended as follows. 3(1) Section 22ZA (nil licences for vehicles for disabled persons:...4In section 62(1) (definitions), at the appropriate places insert— “armed...5In Schedule 1 (annual rates of duty), in Part 1...6(1) In Schedule 2 (exempt vehicles), paragraph 19 is amended...7The amendments made by this Schedule are treated as having...SCHEDULE 38Valuation of certain supplies of fuel1Introductory2Valuation of supplies for private use3In paragraph 6 of that Schedule (valuation of supplies of...4Omit sections 56 and 57 (fuel for private use). 5In section 97(4) (orders subject to affirmative procedure), in paragraph...6Supplies to employees etc at less than open market value7Commencement and transitional provision8(1) The amendment made by paragraph 6 is to be...SCHEDULE 39Stamp duty land tax: transactions entered into before completion of contract1Part 4 of FA 2003 (stamp duty land tax) is...2For section 45 (contract and conveyance: effect of transfer of...3After Schedule 2 insert— SCHEDULE 2A Transactions entered into before...4In section 57A (sale and leaseback arrangements), in subsection (3)(c)—...5In section 77 (notifiable transactions), in subsection (1)— 6In section 79(2) (registration of land transactions etc)— 7In section 119 (meaning of “effective date” of a transaction),...8In section 121 (index of defined expressions), in the entry...9In Schedule 6B (transfers involving multiple dwellings), in paragraph 7(6),...10In paragraph 12B of Schedule 17A (assignment of agreement for...11The amendments made by this Schedule have effect in relation...SCHEDULE 40Stamp duty land tax: relief from 15% rate1Part 4 of FA 2003 (stamp duty land tax) is...2Amendments of FA 20033Minor and consequential amendments4After section 81 insert— Alternative finance arrangements: return where relief...5In section 85 (liability for tax), after subsection (2) insert—...6In section 86 (payment of tax), after subsection (2) insert—...7In the table in section 122 (index of defined expressions),...8Application of amendments9Transactions to which section 29 of the Scotland Act 2012 appliesSCHEDULE 41Stamp duty land tax on leases1Introduction2Leases that continue after a fixed term3After that paragraph insert— (1) This paragraph applies where— (a) (ignoring this paragraph) paragraph...4In section 87 (interest on unpaid tax), in subsection (3)—...5In section 119 (meaning of “effective date” of a transaction),...6Agreement for lease and assignment of agreement for lease7Abnormal rent increases8CommencementSCHEDULE 42Climate change levy: supplies subject to carbon price support rates etcPART 1Earlier provision not to have effect1(1) On and after 26 March 2013, Schedule 6 to...PART 2New provision having effect from 1 April 20132New provision3In paragraph 4 (definition of “taxable supply”) in sub-paragraph (2)(b)...4In paragraph 5 (supplies of electricity) after sub-paragraph (2) insert—...5In paragraph 6 (supplies of gas) in sub-paragraph (2A) after...6(1) Paragraph 14 (exemption for supplies to electricity producers) is...7In paragraph 15 (exemption for supplies to combined heat and...8(1) Paragraph 17 (exemption: self-supplies by electricity producers) is amended...9In paragraph 21 (regulations to avoid double charges to levy)...10In Part 2 after paragraph 24 insert— Deemed taxable supply:...11After paragraph 38 insert— Deemed supplies under paragraph 24A, 24B,...12(1) Paragraph 39 (regulations as to time of supply) is...13In paragraph 42 (amount payable by way of levy) before...14After paragraph 42 insert— (1) This paragraph applies to a deemed supply under paragraph...15In paragraph 55 (notification of registrability) in sub-paragraph (1) after...16In paragraph 62 (tax credits) in sub-paragraph (1) after paragraph...17In paragraph 146 (regulations) in sub-paragraph (3)— 18In paragraph 147 (definitions)— (a) at the appropriate places, insert—...19After paragraph 152 insert— Meaning of “exempt unlicensed electricity supplier”...20(1) Regulation 5 of the Climate Change Levy (Electricity and...21Commencement22(1) The amendments made by paragraph 6(2) and (3) above...PART 3Carbon price support rates from 1 April 201423(1) In paragraph 42A of Schedule 6 to FA 2000...PART 4Carbon price support rates from 1 April 201524(1) In paragraph 42A of Schedule 6 to FA 2000...SCHEDULE 43General anti-abuse rule: procedural requirements1The GAAR Advisory Panel2Meaning of “designated HMRC officer”3Notice to taxpayer of proposed counteraction of tax advantage4(1) If a notice is given to the taxpayer under...5Referral to GAAR Advisory Panel6(1) If representations are made in accordance with paragraph 4,...7If the matter is referred to the GAAR Advisory Panel,...8If the matter is referred to the GAAR Advisory Panel,...9(1) The taxpayer has 21 days beginning with the day...10Decision of GAAR Advisory Panel and opinion notices11(1) Where the matter is referred to the GAAR Advisory...12Notice of final decision after considering opinion of GAAR Advisory Panel13Notices may be given on assumption that tax advantage does ariseSCHEDULE 44Trusts with vulnerable beneficiary1Inheritance Tax Act 19842(1) Section 71A (trusts for bereaved minors) is amended as...3(1) Section 71B (charge to tax on property to which...4(1) Section 71D (age 18-to-25 trusts) is amended as follows....5(1) Section 71E (charge to tax on property to which...6(1) Section 89 (trusts for disabled persons) is amended as...7(1) Section 89A (self-settlement by person with condition expected to...8(1) Section 89B (meaning of “disabled person’s interest”) is amended...9(1) The amendments made by paragraphs 2 to 8 have...10(1) In section 89B (meaning of “disabled person’s interest”), in...11Taxation of Chargeable Gains Act 199212(1) Section 169D (exceptions to rules on gifts to settlor-interested...13(1) Paragraph 1 of Schedule 1 (application of exempt amount...14Finance Act 200515(1) Section 34 (disabled persons) is amended as follows. 16(1) Section 35 (relevant minors) is amended as follows. 17For section 38 substitute— Meaning of “disabled person” In this Chapter “disabled person” has the meaning given by...18The amendments made by paragraphs 15 to 17 have effect...19After Schedule 1 insert— SCHEDULE 1A Meaning of “disabled person”...20Interpretation: relevant settlementSCHEDULE 45Statutory residence testPART 1The rules1Introduction2Interpretation of enactments3The basic rule4If neither of those tests is met for that year,...5The automatic residence test6The automatic UK tests7The first automatic UK test is that P spends at...8(1) The second automatic UK test is that— 9(1) The third automatic UK test is that— 10(1) The fourth automatic UK test is that— 11The automatic overseas tests12The first automatic overseas test is that— 13The second automatic overseas test is that— 14(1) The third automatic overseas test is that— 15(1) The fourth automatic overseas test is that— 16(1) The fifth automatic overseas test is that— 17The sufficient ties test18Sufficient UK ties19The Table below shows how many UK ties are sufficient...20(1) If P dies in year X, paragraph 18 has...PART 2Key concepts21Introduction22Days spent23(1) If P is not present in the UK at...24Days spent “in” a period25Home26Work27Location of work28Rules for calculating the reference period29Significant breaks from UK or overseas work30Relevant jobs on board vehicles, aircraft or ships31UK ties32Family tie33(1) This paragraph applies in deciding for the purposes (only)...34Accommodation tie35Work tie36(1) This paragraph applies for the purposes of paragraph 35....3790-day tie38Country tiePART 3Split year treatment39Introduction40(1) The effect of a tax year being a split...41This Part— (a) does not apply in determining the residence...42The existence of special charging rules for cases involving split...43Definition of a “split year”44Case 1: starting full-time work overseas45Case 2: the partner of someone starting full-time work overseas46Case 3: ceasing to have a home in the UK47Case 4: starting to have a home in the UK only48Case 5: starting full-time work in the UK49Case 6: ceasing full-time work overseas50Case 7: the partner of someone ceasing full-time work overseas51Case 8: starting to have a home in the UK52General rules for construing Cases 1 to 853The overseas part54Priority between Cases 1 to 355Priority between Cases 4 to 856The UK part57Special charging rules for employment income58(1) In section 15 (earnings for year when employee UK...59In section 22 (chargeable overseas earnings for year when remittance...60(1) Section 23 (calculation of “chargeable overseas earnings”) is amended...61(1) Section 24 (limit on chargeable overseas earnings where duties...62(1) Section 26 (foreign earnings for year when remittance basis...63In section 232 (giving effect to mileage allowance relief), after...64(1) Section 329 (deduction from earnings not to exceed earnings)...65(1) Section 394 (charge on employer-financed retirement benefits) is amended...66(1) Section 421E (income relating to securities: exclusions about residence...67In section 474 (cases where Chapter 5 of Part 7...68(1) Section 554Z4 (residence issues) is amended as follows. 69In section 554Z6 (overlap with certain earnings), in subsection (1)(a),...70In section 554Z9 (remittance basis: A is ordinarily UK resident),...71(1) Section 554Z10 (remittance basis: A is not ordinarily resident)...72Special charging rules for pension income73PAYE income74Special charging rules for trading income75In section 6 (territorial scope of charge to tax), after...76(1) Section 17 (effect of becoming or ceasing to be...77In section 243 (post-cessation receipts: extent of charge to tax),...78In section 849 (calculation of firm’s profits or losses), after...79(1) Section 852 (carrying on by partner of notional trade)...80(1) Section 854 (carrying on by partner of notional business)...81Special charging rules for property income82Special charging rules for savings and investment income83In section 368 (territorial scope of charges in respect of...84In section 465 (person liable for tax on gains from...85In section 467 (person liable: UK resident trustees), in subsection...86(1) Section 528 (reduction in amount charged under Chapter 9...87(1) Section 528A (reduction in amount charged on basis of...88(1) Section 536 (top slicing relieved liability: one chargeable event)...89Special charging rules for miscellaneous income90Special charging rules for relevant foreign income charged on remittance basis91(1) Chapter 2 of Part 13 of ITA 2007 (transfer...92Special charging rules for capital gains93(1) Section 2 (persons and gains chargeable to capital gains...94(1) Section 3A (reporting limits) is amended as follows. 95(1) Section 12 (non-UK domiciled individuals to whom remittance basis...96In section 13 (attribution of gains to members of non-resident...97In section 16 (computation of losses), after subsection (3) insert—...98In section 16ZB (individual who has made election under section...99(1) Section 16ZC (individual who has made election under section...100In section 86 (attribution of gains to settlors with interest...101In section 87 (non-UK resident settlements: attribution of gains to...102Trustees of a settlement103In section 475 of ITA 2007 (residence of trustees), after...104Definitions in enactments relating to income tax and CGT105In Part 2 of Schedule 1 to ITEPA 2003 (index...106In Part 2 of Schedule 4 to ITTOIA 2005 (index...107In section 989 of ITA 2007 (definitions for purposes of...108In Schedule 4 to that Act (index of defined expressions),...PART 4Anti-avoidance109Introduction110Meaning of temporarily non-resident111Residence periods112Sole UK residence113Temporary period of non-residence114Year of departure115Period of return116Consequential amendments: income tax117In ITEPA 2003, for section 579CA substitute— Temporary non-residents (1) This section applies if a person is temporarily non-resident....118In ITTOIA 2005, for section 832A substitute— Section 832: temporary...119Consequential amendments: capital gains tax120For section 86A of TCGA 1992 substitute— Attribution of gains...121In section 96 (payment by and to companies), in subsection...122(1) Section 279B (deferred unascertainable consideration: supplementary provisions) is amended...123(1) Schedule 4C (transfers of value: attribution of gains to...124New special rule: lump sum payments under pension schemes etc125In Chapter 2 of Part 6 (employer-financed retirement benefits), after...126In Chapter 2 of Part 7A (employment income provided through...127In that Chapter, after section 554Z11 insert— Temporary non-residents (1) This section applies if A is temporarily non-resident. 128In that Chapter, in section 554Z12 (relevant step taken after...129In Chapter 3 of Part 9 (United Kingdom pensions: general...130(1) In Chapter 1 of Part 11 (pay as you...131New special rule: distributions to participators in close companies etc132In Chapter 1 (introduction), after section 368 insert— Interpretation of...133In Chapter 3 (dividends etc from UK resident companies and...134In Chapter 4 (dividends from non-UK resident companies), after section...135In Chapter 5 (stock dividends from UK resident companies), after...136In Chapter 6 (release of loan to participator in close...137In Chapter 8 of Part 5 of that Act (income...138In Chapter 1 of Part 14 of ITA 2007 (limits...139New special rule: chargeable event gains140After section 465A insert— Temporary non-residents (1) This section applies if an individual is temporarily non-resident....141In section 468 (non-UK resident trustees and foreign institutions), after...142In section 514 (chargeable events where transaction-related calculations show gains),...143In section 541 (calculation of deficiencies), in subsection (4)(b), after...144In section 552 of ICTA (information: duties of insurers), in...PART 5Miscellaneous145Interpretation146In relation to an individual who carries on a trade—...147A reference in this Schedule to a number of days...148Consequential amendments149In section 27 of ITEPA 2003 (UK-based earnings for year...150In section 465 of ITTOIA 2005 (gains from contracts for...151(1) Chapter 4 of Part 2 of FA 2005 (trusts...152(1) ITA 2007 is amended as follows. 153Commencement154Transitional and saving provision155(1) This paragraph applies if— (a) year X or, for...156(1) Sub-paragraph (2) applies in determining whether the test in...157(1) This paragraph applies in determining whether the test in...158(1) The existing temporary non-resident provisions, as in force immediately...159Section 13 of FA 2012 (Champions League final 2013) is...SCHEDULE 46Ordinary residencePART 1Income tax and capital gains tax: remittance basis of taxation1Remittance basis restricted to non-doms2In section 809A (overview of Chapter), omit “or are not...3In section 809B (claim for remittance basis to apply)— 4In section 809D (application of remittance basis without claim where...5In section 809E (application of remittance basis without claim: other...6Treatment of relevant foreign earnings7(1) In section 22 (chargeable overseas earnings for year when...8In section 23 (calculation of “chargeable overseas earnings”), in subsection...9(1) In section 26 (foreign earnings for year when remittance...10After that section insert— Section 26: requirement for 3-year period...11(1) Section 41C (foreign securities income) is amended as follows....12In section 271 (limited exemption of removal benefits and expenses:...13(1) In section 554Z9 (remittance basis: A is ordinarily UK...14(1) In section 554Z10 (remittance basis: A is not ordinarily...15(1) Section 690 (employee non-resident etc) is amended as follows....16Consequential amendments17In section 12 of TCGA 1992 (non-UK domiciled individuals to...18In section 87B of that Act (section 87: remittance basis),...19In section 726 of ITA 2007 (non-UK domiciled individuals to...20In section 730 of that Act (non-UK domiciled individuals to...21In section 735 of that Act (non-UK domiciled individuals to...22In section 809F of that Act (effect on what is...23In section 809YD of that Act (chargeable gains accruing on...24In section 809Z7 of that Act (meaning of “foreign income...25Commencement26Savings27InterpretationPART 2Income tax: arising basis of taxation28ICTA29ITEPA 200330In section 56 (application of Income Tax Acts in relation...31In section 61G (application of Income Tax Acts in relation...32In section 328 (the income from which deductions may be...33In section 341 (travel at start or finish of overseas...34In section 342 (travel between employments where duties performed abroad),...35In section 370 (travel costs where duties performed abroad: employee’s...36In section 376 (foreign accommodation and subsistence costs and expenses...37(1) Section 378 (deductions from seafarers’ earnings: eligibility) is amended...38(1) Section 413 (exception in certain cases of foreign service)...39(1) In section 681A (foreign benefits of consular employees), for...40(1) In Schedule 2 (approved share incentive plans), in paragraph...41(1) In Schedule 3 (approved SAYE option schemes), in paragraph...42In Schedule 5 (enterprise management incentives), in paragraph 27(3)(b), omit...43ITTOIA 200544In section 154A (certain non-UK residents with interest on 3½%...45In section 459 (transfer of assets abroad), in subsection (2),...46In section 468 (non-UK resident trustees and foreign institutions), for...47In section 569 (anti-avoidance: transfer of assets abroad), in subsection...48(1) In section 636 (calculation of undistributed income), in subsection...49In section 648 (income arising under a settlement), in subsection...50In section 651 (meaning of “UK estate” and “foreign estate”),...51In section 664 (the aggregate income of the estate), in...52(1) Section 715 (interest from FOTRA securities held on trust)...53(1) In section 771 (relevant foreign income of consular officers...54ITA 200755In section 465 (overview of Chapter 2 and interpretation), in...56(1) Section 475 (residence of trustees) is amended as follows....57(1) Section 476 (how to work out whether settlor meets...58In section 643 (non-residents), in subsection (1), omit “and is...59In section 718 (meaning of “person abroad” etc), in subsection...60In section 720 (charge to tax on income treated as...61(1) Section 721 (individuals with power to enjoy income as...62In section 727 (charge to tax on income treated as...63(1) Section 728 (individuals receiving capital sums as a result...64In section 732 (non-transferors receiving benefit as a result of...65(1) In section 749 (restrictions on particulars to be provided...66In section 812 (case where limit on liability of non-UK...67(1) In section 834 (residence of personal representatives), in subsection...68(1) In section 858 (declarations of non-UK residence: individuals)— 69(1) In section 859 (declarations of non-UK residence: Scottish partnerships)—...70(1) In section 860 (declarations of non-UK residence: personal representatives),...71(1) Section 861 (declarations of non-UK residence: settlements) is amended...72Commencement73SavingsPART 3Capital gains tax: accruals basis of taxation74TCGA 199275(1) Section 2 (persons and gains chargeable to capital gains...76In section 10 (non-resident with United Kingdom branch or agency),...77(1) Section 13 (attribution of gains to members of non-resident...78In section 16 (computation of losses), in subsection (3), for...79In section 62 (death: general provisions), in subsection (3), omit...80In section 65 (liability for tax of trustees or personal...81In section 67 (provisions applicable where section 79 of the...82(1) Section 69 (trustees of settlements) is amended as follows....83In section 76 (disposal of interests in settled property), in...84In section 80 (trustees ceasing to be resident in UK),...85(1) Section 81 (death of trustee: special rules) is amended...86In section 82 (past trustees: liability for tax), in subsection...87In section 83 (trustees ceasing to be liable to UK...88(1) Section 83A (trustees both resident and non-resident in a...89In section 84 (acquisition by dual resident trustees), in subsection...90In section 85 (disposal of interests in non-resident settlements), in...91(1) Section 86 (attribution of gains to settlors with interest...92(1) Section 87 (non-UK resident settlements: attribution of gains to...93In section 88(1) (gains of dual resident settlements)— 94(1) Section 96 (payments by and to companies) is amended...95In section 97 (supplementary provisions), in subsection (1)(a), for “neither...96In section 99 (application of Act to unit trust schemes),...97In section 106A(5A) (identification of securities: capital gains tax)— 98(1) Section 159 (non-residents: roll-over relief) is amended as follows....99(1) Section 166 (gifts to non-residents) is amended as follows....100(1) Section 167 (gifts to foreign-controlled companies) is amended as...101(1) Section 168 (emigration of donee) is amended as follows....102In section 169 (gifts into dual resident trusts), in subsection...103In section 199 (exploration or exploitation assets: deemed disposals), in...104(1) Section 261 (section 260 relief: gifts to non-residents) is...105In Schedule 1 (application of exempt amount and reporting limits...106(1) Schedule 4A (disposal of interest in settled property: deemed...107(1) Schedule 4C (transfers of value: attribution of gains to...108(1) Schedule 5 (attribution of gains to settlors with interest...109(1) Schedule 5A (settlements with foreign element: information) is amended...110(1) Schedule 5B (enterprise investment scheme: re-investment) is amended as...111In Schedule 7C (reliefs for transfers to approved share plans),...112CommencementPART 4Other amendments113FA 1916114F(No.2)A 1931115TMA 1970116(1) In section 98 (special returns etc), in subsection (4E)(d),...117In Schedule 1A (claims etc not included in returns), in...118IHTA 1984119FA 2004120In section 185G (disposal by person holding directly), in subsection...121In section 205 (short service refund lump sum charge), in...122In section 205A (serious ill-health lump sum charge), in subsection...123In section 206 (special lump sum death benefits charge), in...124In section 207 (authorised surplus payments charge), in subsection (3),...125In section 208 (unauthorised payments charge), in subsection (4), omit...126In section 209 (unauthorised payments surcharge), in subsection (5), omit...127In section 217 (persons liable to lifetime allowance charge), in...128In section 237A (liability of individual to annual allowance charge),...129In section 237B (liability of scheme administrator), in subsection (8),...130In section 239 (scheme sanction charge), in subsection (4), omit...131In section 242 (de-registration charge), in subsection (3), omit “,...132The amendments of Part 4 of FA 2004 made by...133FA 2005134F(No.2)A 2005135(1) In section 7 (charge to income tax on lump...136In section 18 (section 17(3): specific powers), in subsection (1)(f)...137CTA 2009138(1) In section 900 (which relates to roll-over relief for...139(1) In section 936 (meaning of “UK estate” and “foreign...140(1) In section 947 (aggregate income of the estate), in...141(1) In section 1009 (conditions relating to employee’s income tax...142(1) In section 1017 (condition relating to employee’s income tax...143(1) In section 1025 (additional relief available if shares acquired...144(1) In section 1032 (meaning of “chargeable event”), in subsection...145CTA 2010146TIOPA 2010147Constitutional Reform and Governance Act 2010SCHEDULE 47Controlled foreign companies1Relevant finance leases etc2Chapter 5 (the CFC charge gateway: non-trading finance profits) is...3In section 371ED (arrangements in lieu of dividends) in subsection...4(1) Section 371EE (leases to UK resident companies etc) is...5Chapter 22 (supplementary provision) is amended as follows. 6In section 371VA (definitions) for the definition of “relevant finance...7(1) Section 371VG (finance profits) is amended as follows. 8(1) Section 371VH (interests in companies) is amended as follows....9After section 371VI insert— Relevant finance leases (1) In this Part “relevant finance lease” means an arrangement...10Limit on double taxation relief in cases involving qualifying loan relationships of CFCs11Chapter 2 (double taxation relief by way of credit) is...12In section 42 (limit on credit against corporation tax) after...13After section 49 insert— Limit on credit in cases involving...14(1) In Chapter 3 (miscellaneous provisions), section 112 (deduction from...15Miscellaneous16Part 9A of TIOPA 2010 (controlled foreign companies) is amended...17In Chapter 3 (the CFC charge gateway: determining which (if...18Chapter 9 (exemptions for profits from qualifying loan relationships) is...19In section 371IB (loans funded out of qualifying resources) after...20(1) Section 371IE (matched interest) is amended as follows. 21Commencement and transitional provision22(1) Section 371CE of TIOPA 2010 (as amended by paragraph...SCHEDULE 48Proceeds of crime: powers of officers of Revenue and Customs1Proceeds of Crime Act 20022(1) Section 289 (searches) is amended as follows. 3In section 290 (prior approval for search)— 4In section 291(2) (report on exercise of powers), for “customs...5In section 292 (code of practice)— (a) in subsection (1),...6(1) Section 294 (seizure of cash) is amended as follows....7In section 295(1) (detention of seized cash), for “customs officer”...8In section 296(2) (interest on cash), for “customs officer” substitute...9In section 297(4) (release of detained cash), for “A customs...10In section 302(6) (compensation), for “a customs officer” substitute “an...11In section 351(5) (person making application to vary or discharge...12(1) Section 352 (search and seizure warrants) is amended as...13(1) Section 353 (requirements where production order not available) is...14(1) Section 369 (customer information orders: supplementary provisions) is amended...15In section 375(4) (account monitoring orders: supplementary provisions)— 16After section 375B insert— Officers of Revenue and Customs Restriction...17In section 377(1) (persons subject to code of practice), for...18In section 378 (officers)— (a) in subsection (1), for paragraph...19After section 408B insert— Officers of Revenue and Customs Restriction...20In section 412 (interpretation), in the entry relating to the...21Commissioners for Revenue and Customs Act 200522Relationship of provisions of 2005 Act with provisions of 2002 Act23Consequential amendments24In Schedule 7 to the Policing and Crime Act 2009...SCHEDULE 49Corporation tax: deferral of payment of exit charge1Amendments of TMA 19702After section 59F insert— Exit charge payment plans (1) Schedule 3ZB contains provisions about exit charge payment plans...3Immediately before section 59G insert— Managed payment plans . 4(1) Section 109B (provision for securing payment by company of...5(1) Section 109E (liability of other persons for unpaid tax)...6After Schedule 3ZA insert— SCHEDULE 3ZB Exit charge payment plans...7Amendments of FA 20098CommencementSCHEDULE 50Penalties: late filing, late payment and errors1Amendments to Schedule 24 to FA 2007: penalties for errors2Amendments to Schedule 55 to FA 2009: penalty for failure to make returns3In paragraph 1 (returns etc in respect of which penalties...4In the Table at the end of paragraph 1, in...5In paragraph 2 (amount of penalty: occasional returns and returns...6After paragraph 6A insert— Amount of penalty: real time information...7In paragraph 18 (assessment), for sub-paragraph (5) substitute— 8(1) Paragraph 19 (assessment) is amended as follows. 9(1) Paragraph 27 (interpretation) is amended as follows. 10Amendments to Schedule 56 to FA 2009: penalty for failure to make payments on time11In paragraph 1 (penalty for failure to pay tax), in...12(1) Paragraph 6 (amount of penalty: PAYE and CIS amounts)...13After paragraph 9 insert— Interaction with other penalties and late...14(1) Paragraph 11 (assessment of penalty) is amended as follows....15Consequential amendment16CommencementSCHEDULE 51Withdrawal of notice to file etc1TMA 19702(1) Section 7 (notice of liability to income tax and...3After section 8A insert— Withdrawal by HMRC of notice under...4After section 12AA insert— Withdrawal by HMRC of notice under...5In section 59B (payment of income and capital gains tax),...6FA 20087FA 20098In Schedule 55 to that Act (penalty for failure to...9CommencementFinance Act 20132013 Chapter 29An Act to grant certain duties, to alter other duties, and to amend the law relating to the National Debt and the Public Revenue, and to make further provision in connection with finance.[17th July 2013]Most Gracious SovereignWE, Your Majesty’s most dutiful and loyal subjects, the Commons of the United Kingdom in Parliament assembled, towards raising the necessary supplies to defray Your Majesty’s public expenses, and making an addition to the public revenue, have freely and voluntarily resolved to give and to grant unto Your Majesty the several duties hereinafter mentioned; and do therefore most humbly beseech Your Majesty that it may be enacted, and be it enacted by the Queen’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
