Finance Bill

House of Commons

Session 2002 - 03
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Finance Bill

Finance Bill
Schedule 43 — Repeals
Part 3 — Income tax, corporation tax and capital gains tax
    440

(8) Chargeable gains: earn-out rights

Short title and chapter
Extent of repeal

Taxation of Chargeable Gains
In section 138A—

Act 1992 (c. 12)
     (a)    in subsection (2), paragraph (c) and the

word “and” preceding it;

5

     (b)    in subsection (4), paragraph (e) and the

word “and” preceding it.

           These repeals have effect in accordance with section 160 of this Act.
(9) First-year allowances for expenditure on eco-friendly plant or machinery
10

Short title and chapter
Extent of repeal

Capital Allowances Act 2001
In section 39, the word “or” at the end of the

(c. 2)
entry relating to section 45E.

In section 46(1), the word “or” at the end of the

entry relating to section 45E.

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In Part 2 of Schedule 1, in the first column of the

entry relating to the expression “long life

asset expenditure”, the words “Chapter 10

of”.

           These repeals have effect in accordance with section 166 of this Act.
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(10) Relief for research and development

Short title and chapter
Extent of repeal

Finance Act 2000 (c. 17)
In Schedule 20, in paragraph 5(3)—

     (a)    the words “the following rules apply”;

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     (b)    paragraphs (a) and (b);

     (c)    in paragraph (c), the words “in any other

case,”.

Finance Act 2002 (c. 23)
In Schedule 12—

     (a)    in paragraph 7(2), the word “and”

30

preceding paragraph (b);

     (b)    in paragraph 11(3), the word “and”

preceding paragraph (b);

     (c)    in paragraph 15(1), the word “or”

preceding paragraph (c);

35

     (d)    in paragraph 17, the word “and”

preceding paragraph (c).

In Schedule 13, in paragraph 5(3), the word

“and” preceding paragraph (d).

           These repeals have effect in accordance with section 167 of this Act.
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Finance Bill
Schedule 43 — Repeals
Part 3 — Income tax, corporation tax and capital gains tax
    441

(11) Tonnage tax: capital allowances for lessors

Short title and chapter
Extent of repeal

Finance Act 2000 (c. 17)
In Schedule 22—

     (a)    the word “finance” in the first sentence

5

of paragraph 41(4), in paragraphs 89(1),

90(1), 92(1), 94(1), 98(1)(a) and 99(1)(a)

and in the heading to paragraph 93;

     (b)    in paragraph 93(1), the words “finance”

and “either”;

10

     (c)    in paragraph 147, the entry for “finance

lease (and lessor and lessee) (in Part X)”.

           These repeals have effect in relation to any lease (within the meaning given
by paragraph 5 of Schedule 32 to this Act) entered into on or after 19th
December 2002.
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(12) Insurance companies

Short title and chapter
Extent of repeal

Income and Corporation Taxes
Section 432A(9B).

Act 1988 (c. 1)
In section 432E(2), paragraph (a) and, in

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paragraph (b), the words “in any other case,”.

In section 436(3)(a), the words after

“modifications”.

In section 438B(5), paragraph (b) and the word

“and” before it.

25

In section 439B(3)(a), the words “and in

particular with the omission of the words

“and any amounts of tax which are expended

on behalf of” in section 82(1)(a)”.

In section 441—

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     (a)    in subsection (1), the words “and section

441A” (in both places);

     (b)    in subsection (4)(a), the words “and in

particular with the omission of the

words “and any amounts of tax which

35

are expended on behalf of” in section

82(1)(a)”.

In section 442A(4), the words “to the company”.

In Schedule 28AA, in paragraph 5(6)(b), the

words “or 88A”.

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Finance Bill
Schedule 43 — Repeals
Part 3 — Income tax, corporation tax and capital gains tax
    442

Short title and chapter
Extent of repeal

Finance Act 1989 (c. 26)
In section 83—

     (a)    in subsection (5), paragraph (b) and the

word “but” before it;

     (b)    in subsection (6)(c), the words “unless

5

the reinsurer under the contract falls

within section 439A of the Taxes Act

1988 (pure reinsurance)”;

     (c)    subsection (6A);

     (d)    in subsection (8), in the definition of

10

“total reinsurance”, the words “before

the making of the contract of reinsurance

(or, in a case where there are two or

more contracts of reinsurance, the last of

them)”.

15

In section 83AA—

     (a)    subsections (3) to (5) and (6)(a);

     (b)    in subsection (7), paragraph (b) and the

word “and” before it;

     (c)    in subsection (10), the definitions of “the

20

relevant accounting period” and “the

transferor company”.

Section 83AB(1)(c)(i).

In section 83A(2), the second sentence.

Section 84(1).

25

In section 87(6)(b), the words “, disregarding

section 76(1)(e) of that Act (as set out in

subsection (2) above,”.

In section 88(1), the words “and section 88A”.

Section 88A.

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In section 89—

     (a)    in subsection (1), the words “or, as the

case may be, basic life assurance and

general annuity business”;

     (b)    in subsection (7), the definition of “the

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Prudential Sourcebook (Insurers)”.

Finance Act 1990 (c. 29)
Section 43.

Finance Act 1991 (c. 12)
In Schedule 7—

     (a)    in paragraph 1(a), the words “and (e)”;

     (b)    paragraph 11.

40

Taxation of Chargeable Gains
In section 204(4), the words from “and in

Act 1992 (c. 12)
subsection (3)” onwards.

Section 211(1A).

In section 212(7), the words following

paragraph (b).

45

In Schedule 7AD, in paragraph 10(1), the

definitions of “insurance company”, “long-

term business” and “long-term insurance

fund”.

In Schedule 7B, in paragraph 1, the words “(as

50

defined in section 431(2) of the Taxes Act)”.

Finance Bill
Schedule 43 — Repeals
Part 3 — Income tax, corporation tax and capital gains tax
    443

Short title and chapter
Extent of repeal

Finance Act 1996 (c. 8)
In Schedule 6, paragraph 26.

In Schedule 11—

     (a)    in paragraph 4(2), the word “net” (in

both places);

5

     (b)    in paragraph 4(16), the definition of “net

income and gains”.

Finance Act 2000 (c. 17)
In Schedule 30, paragraph 18(3).

Finance Act 2002 (c. 23)
In Schedule 25, paragraph 46.

  1        The repeals in sections 432A, 436, 439B and 441(4)(a) of the Taxes Act 1988,
10
the repeals in sections 83(5), 83AA and 83AB of the Finance Act 1989 and the
repeals in the Finance Act 1990, the Finance Act 2000 and the Finance Act
2002 have effect for periods of account beginning on or after 1st January
2003.
  2        The repeals in section 432E of the Taxes Act 1988 have effect in accordance
15
with paragraph 9(5) of Schedule 33 to this Act.
  3        The repeals in section 438B of, and in Schedule 28AA to, the Taxes Act 1988,
the repeal in section 88 of the Finance Act 1989, the repeal of section 88A of
that Act, the repeal in section 89(1) of that Act and the repeal in Schedule 6
to the Finance Act 1996 have effect for the financial year 2003 and
20
subsequent financial years.
  4        The repeal in section 442A of the Taxes Act 1988 has effect in accordance
with paragraph 21(5) of Schedule 33 to this Act.
  5        The repeals in section 83(6)(c) and (8) of the Finance Act 1989 have effect in
accordance with paragraph 2(11) of that Schedule.
25
  6        The repeals in section 87 of the Finance Act 1989, paragraph 1(a) of Schedule
7 to the Finance Act 1991 and Schedule 11 to the Finance Act 1996 have effect
in accordance with paragraph 8(4) of that Schedule.
(13) Life insurance policies etc
30

Short title and chapter
Extent of repeal

Income and Corporation Taxes
In section 1A(2), the word “and” at the end of

Act 1988 (c. 1)
paragraph (b).

Section 540(2).

In Schedule 15, in paragraph 3(8), the words

35

from “and” preceding paragraph (b)(iii) to the

end of paragraph (c).

  1        The repeal in section 1A of the Taxes Act 1988 has effect in accordance with
section 172 of this Act.
  2        The repeal of section 540(2) of that Act has effect in accordance with section
40
170 of, and Part 4 of Schedule 34 to, this Act.

Finance Bill
Schedule 43 — Repeals
Part 3 — Income tax, corporation tax and capital gains tax
    444

  3        The repeal in Schedule 15 to that Act has effect in accordance with section
171(6) of this Act.
(14) Loan relationships: late interest

Short title and chapter
Extent of repeal

5

Finance Act 1996 (c. 8)
In Schedule 9, in paragraph 2(6), in the

definition of “participator”, the word “close”.

           This repeal has effect in accordance with paragraph 2(4) of Schedule 37 to
this Act.
10
(15) Repos etc

Short title and chapter
Extent of repeal

Income and Corporation Taxes
In section 737C—

Act 1988 (c. 1)
     (a)    in subsection (3)(b), the word “gross”;

     (b)    subsection (4).

15

Finance Act 1996 (c. 8)
In Schedule 9, in paragraph 15(3)(b), the words

“, or a person connected with him,”.

  1         The repeals in the Taxes Act 1988 have effect in accordance with sub-
paragraph (1) of paragraph 19 of Schedule 38 to this Act.
  2         The repeal in the Finance Act 1996 has effect in accordance with sub-
20
paragraph (2) of that paragraph.
(16) Relevant discounted securities

Short title and chapter
Extent of repeal

Finance Act 1996 (c. 8)
In Schedule 13—

25

     (a)    in paragraph 1(3)(a), the words “reduced

by the amount of any relevant costs”;

     (b)    paragraph 1(4);

     (c)    paragraph 2;

     (d)    paragraph 6(4) to (6);

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     (e)    paragraphs 7, 9A and 11;

     (f)    in paragraph 14(2) and (3), the words

“gilt-edged”;

     (g)    in paragraph 14(4), the words after

paragraph (c).

35

Finance Act 2002 (c. 23)
Section 104(3).

Finance Bill
Schedule 43 — Repeals
Part 4 — Other taxes
    445

           These repeals have effect in accordance with paragraph 6 of Schedule 39 to
this Act.
(17) Court common investment funds

Short title and chapter
Extent of repeal

5

Income and Corporation Taxes
In section 469A—

Act 1988 (c. 1)
     (a)    in subsection (2), the words “(subject to

subsection (3) below)”;

     (b)    subsection (3).

           These repeals have effect in relation to income arising to a common
10
investment fund (within the meaning of section 182 of this Act) on or after
6th April 2003.
Part 4
Other taxes
15
(1) Inheritance tax: authorised unit trusts

Short title and chapter
Extent of repeal

Inheritance Tax Act 1984 (c. 51)
In section 178(1), in the definition of “qualifying

investments”, the words “(as defined in

section 468 of the Taxes Act 1988)”.

20

Income and Corporation Taxes
In Schedule 29, in the table in paragraph 32, the

Act 1988 (c. 1)
entry relating to section 178(1) of the

Inheritance Tax Act 1984.

           These repeals have effect in relation to transfers of value and other events
occurring on or after 16th October 2002.
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Finance Bill
Schedule 43 — Repeals
Part 5 — Miscellaneous
    446

(2) Climate change levy

Short title and chapter
Extent of repeal

Finance Act 2000 (c. 17)
In Schedule 6—

     (a)    paragraph 15(5);

     (b)    in paragraph 41(1)(c), the words “for any

5

period”;

     (c)    in paragraph 100(1), the words “for an

accounting period”;

     (d)    paragraph 148(6);

     (e)    in paragraph 149(1), the words “the

10

percentage that is to be stated in a

certificate under paragraph 148 as”.

           These repeals, except the ones in paragraphs 41(1)(c) and 100(1), have effect
in accordance with section 186(5) of this Act.
15
Part 5
Miscellaneous
(1) Exchange of information between tax authorities of member States

Short title and chapter
Extent of repeal

Finance Act 1978 (c. 42)
Section 77.

20

Finance Act 1980 (c. 48)
Section 17.

Finance Act 1990 (c. 29)
In section 125, subsection (5) and the words

after “appoint” in subsection (6).

Finance Act 1993 (c. 34)
Section 22.

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(2) Controlled foreign companies: exempt activities

Short title and chapter
Extent of repeal

Income and Corporation Taxes
In Part 2 of Schedule 25, in paragraph 6(2A), the

Act 1988 (c. 1)
word “and” preceding paragraph (c).

           This repeal has effect in accordance with section 197 of this Act.
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