SCHEDULE 3 continued PART 4 continued
Contents page 140-11 150-11 160-11 170-11 180-11 190-11 200-11 210-11 220-11 230-11 240-11 250-11 260-11 270-11 280-11 290-11 300-11 310-11 320-11 330-11 340-11 Last page
Housing and Regeneration Act 2008
16 In Schedule 9 (amendment of enactments: Part 1), omit paragraph 34.
Corporation Tax Act 2009
17
45In section 105 of CTA 2009 (gifts of trading stock to charities etc), in
subsection (6) after “charity)” insert “and section 939F of that Act (removal
of corporation tax relief in respect of tainted charity donations etc)”.
18
In Schedule 1 (minor and consequential amendments), omit paragraphs 703
and 704.
50Corporation Tax Act 2010
19 CTA 2010 is amended as follows.
20 In section 1 (overview of Act), in subsection (4)—
(a) in the opening words for “21” substitute “21C”, and
(b) after paragraph (j) insert “, and
(k) 55tainted donations made to charities (see Part 21C).”
21
In section 189 (relief for qualifying charitable donations), in subsection (5)
for “any” substitute “section 939F and to any other”.
22
In section 496 (meaning of “non-charitable expenditure”), omit subsection
(1)(e) and (f).
23 60Sections 502 to 510 (substantial donor transactions) are repealed.
24
In Schedule 1 (minor and consequential amendments), omit paragraphs 532
to 535.
25 In Schedule 2 (transitionals and savings etc), omit paragraphs 73 to 76.
26
In Schedule 4 (index of defined expressions), at the appropriate places
65insert—
| “arrangements (in Part 21C) | section 939I” |
| “charity (in Part 21C) | paragraph 1 of Schedule 6 to FA 2010 (and 70see also section 939I)” |
| “the donor (in Part 21C) | section 939C(3)” |
| “potentially advantaged person (in Part 21C) |
section 75939C(5)” |
| “relievable charity donation (in Part 21C) | section 939B(1)” |
| “tainted donation (in Part 21C) | section 939C”. |
Part 5 80Commencement and transitional provision
Commencement
27
(1)
Subject to sub-paragraph (2), the amendments made by this Schedule have
effect in relation to relievable charity donations made on or after 1 April
2011.
(2)
85The repeals made by paragraphs 12 to 14, 16, 18 and 22 to 25 have effect in
relation to any transaction, other than an excluded transaction, occurring on
or after 1 April 2013.
(3)
A transaction is “excluded” if it is entered into in pursuance of a contract
made before 1 April 2013, other than in pursuance of a variation of the
90contract made on or after that date.
Treatment of existing arrangements
28
In the amendments made by Parts 1 and 2 of this Schedule, references to
arrangements include arrangements made, or made and implemented,
before 1 April 2011.
95Treatment of substantial donor transactions
29
(1)
For the purposes of section 549(2) of ITA 2007 (meaning of substantial
donor), relievable gifts (within the meaning of section 550 of that Act)
received by a charitable trust on or after 1 April 2011 are to be disregarded.
(2) Sub-paragraphs (3) and (4) apply where—
(a)
100a substantial donor transaction is entered into before, or on or after 1
April 2011, and
(b) that transaction is not tainted.
(3)
Where a payment made on or after 1 April 2011 by a charitable trust to a
substantial donor in the course of, or for the purposes of, the substantial
105donor transaction would (in the absence of this sub-paragraph) be treated
under section 551(1) or (5) of ITA 2007 as non-charitable expenditure, that
payment is not to be so treated.
(4)
Where, as a result of the substantial donor transaction, non-charitable
expenditure would (in the absence of this sub-paragraph) be treated as
110incurred under section 551(2) of that Act on or after 1 April 2011, that
expenditure is not to be treated as so incurred.
(5)
A substantial donor transaction is “tainted” if (and only if) it is reasonable to
assume from—
(a)
the likely effects of the relevant relievable gifts and the substantial
115donor transaction, and
(b)
the circumstances in which the relevant relievable gifts were made
and the circumstances in which the substantial donor transaction
was entered into,
that the relevant relievable gifts (or one or more of them) would not have
120been made and the transaction would not have been entered into
independently of one another.
Finance (No. 3) BillPage 139
(6) In this section—
-
“relevant relievable gifts”, in relation to the substantial donor
transaction, means the relievable gifts by reason of which a person is
a substantial donor and the transaction is a substantial donor
5transaction; -
“relievable gift” has the meaning given by section 550 of ITA 2007;
-
“substantial donor” and “substantial donor transaction” have the
meaning given by section 549 of that Act.
30
(1)
For the purposes of section 502(2) of CTA 2010 (meaning of substantial
10donor), relievable gifts (within the meaning of section 503 of that Act)
received by a charitable company on or after 1 April 2011 are to be
disregarded.
(2) Sub-paragraphs (3) and (4) apply where—
(a)
a substantial donor transaction is entered into before, or on or after,
151 April 2011, and
(b) that transaction is not tainted.
(3)
Where a payment made on or after 1 April 2011 by a charitable company to
a substantial donor in the course of, or for the purposes of, the substantial
donor transaction would (in the absence of this sub-paragraph) be treated
20under section 504(1) or (5) of CTA 2010 as non-charitable expenditure, that
payment is not to be so treated.
(4)
Where, as a result of the substantial donor transaction, non-charitable
expenditure would (in the absence of this sub-paragraph) be treated as
incurred under section 504(2) of that Act on or after 1 April 2011, that
25expenditure is not to be treated as so incurred.
(5)
The substantial donor transaction is “tainted” if (and only if) it is reasonable
to assume from—
(a)
the likely effects of the relevant relievable gifts and the substantial
donor transaction, and
(b)
30the circumstances in which the relevant relievable gifts were made
and the circumstances in which the substantial donor transaction
was entered into,
that the relevant relievable gifts (or one or more of them) would not have
been made and the transaction would not have been entered into
35independently of one another.
(6) In this section—
-
“relevant relievable gifts”, in relation to the substantial donor
transaction, means the relievable gifts by reason of which a person is
a substantial donor and the transaction is a substantial donor
40transaction; -
“relievable gift” has the meaning given by section 503 of CTA 2010;
-
“substantial donor” and “substantial donor transaction” have the
meaning given by section 502 of that Act.
Housing (Scotland) Act 2010 (asp 17)2010 (asp 17)
31
45Until such time as section 20 of the Housing (Scotland) Act 2010 is brought
into force, the references to that section in the following provisions are to be
read as references to section 57 of the Housing (Scotland) Act 2001 (asp 10)2001 (asp 10)—