|
| |
| |
(2B) | Stamp duty shall not be chargeable on an instrument transferring |
| |
stock of a particular kind on sale to a person or the person’s nominee |
| |
| |
(a) | the person is an options intermediary who is approved for |
| |
the purposes of this section by the Commissioners; |
| 5 |
(b) | options to buy or sell stock of that kind are regularly traded |
| |
on, and are listed by or quoted on, a regulated market, a |
| |
multilateral trading facility or a recognised foreign options |
| |
| |
(c) | stock of that kind is regularly traded on a regulated market. |
| 10 |
(2C) | Stamp duty shall not be chargeable on an instrument transferring |
| |
stock of a particular kind on sale to a person or the person’s nominee |
| |
| |
(a) | the person is an options intermediary who is approved for |
| |
the purposes of this section by the Commissioners; |
| 15 |
(b) | options to buy or sell stock of that kind are regularly traded |
| |
on, and are listed by or quoted on, a regulated market, a |
| |
multilateral trading facility or a recognised foreign options |
| |
| |
(c) | the sale is effected on a relevant qualifying exchange on |
| 20 |
which stock of that kind is regularly traded or is effected on |
| |
a relevant qualifying exchange pursuant to the exercise of a |
| |
relevant option and options to buy or sell stock of that kind |
| |
are regularly traded on, and are listed by or quoted on, that |
| |
| 25 |
| and in paragraph (c) “relevant qualifying exchange” means a |
| |
multilateral trading facility, a recognised foreign options exchange |
| |
or a recognised foreign exchange.” |
| |
(3) | In subsection (6) (meaning of sale being on an exchange)— |
| |
(a) | after “effected on” insert “a facility or”, |
| 30 |
(b) | for “subsection (1) or (2) above” substitute “this section”, and |
| |
(c) | for “the exchange” (in each place) substitute “the facility or |
| |
| |
(4) | After that subsection insert— |
| |
“(6A) | The Commissioners may approve a person for the purposes of this |
| 35 |
section only if the person is authorised under the law of an EEA State |
| |
to provide any of the investment services or activities listed in |
| |
Section A 2 or 3 of Annex I to the Directive (execution of orders on |
| |
behalf of clients and dealing on own account), whether or not the |
| |
person is authorised under the Directive.” |
| 40 |
(5) | The amendments made by this paragraph have effect in relation to any |
| |
instrument executed on or after 1st November 2007. |
| |
2 (1) | Section 80B of FA 1986 (exemption from stamp duty on sales to |
| |
intermediaries: supplementary) is amended as follows. |
| |
| 45 |
(a) | after the definition of “collective investment scheme” insert— |
| |
““the Directive” means Directive 2004/39/EC of the |
| |
European Parliament and of the Council of 21 April |
| |
| |
| |
|
| |
| |
2004 on markets in financial instruments, as amended |
| |
| |
(b) | omit the definition of “EEA exchange”, and |
| |
(c) | in the definition of “EEA State”, for “means a State which” substitute |
| |
“, in relation to any time, means a State which at that time is a |
| 5 |
member State or any other State which at that time” and insert at the |
| |
end “(as modified or supplemented from time to time)”. |
| |
(3) | After that subsection insert— |
| |
“(2A) | Each of the following expressions— |
| |
“multilateral trading facility”, and |
| 10 |
| |
| has the same meaning in section 80A above as it has for the purposes |
| |
| |
(4) | After subsection (5) insert— |
| |
“(5A) | The Treasury may by regulations amend section 80A above and this |
| 15 |
section (as they have effect for the time being) in order to extend the |
| |
exemption from duty under that section.” |
| |
(5) | In subsection (7) (power for regulations to provide for stamp duty to be |
| |
chargeable at a rate not exceeding 0.1%), for “subsection (1) or (2)” substitute |
| |
“any of subsections (1) to (2C)”. |
| 20 |
(6) | The amendments made by this paragraph have effect in relation to any |
| |
instrument executed on or after 1st November 2007. |
| |
3 (1) | Section 88A of FA 1986 (exemption from SDRT: sales to intermediaries) is |
| |
| |
(2) | For subsections (1) to (3) substitute— |
| 25 |
“(1) | Section 87 above shall not apply as regards an agreement to transfer |
| |
securities of a particular kind to B or B’s nominee if— |
| |
(a) | B is a member of a regulated market on which securities of |
| |
that kind are regularly traded; and |
| |
(b) | B is an intermediary and is recognised as such by the market |
| 30 |
in accordance with arrangements approved by the |
| |
Commissioners for Her Majesty’s Revenue and Customs |
| |
| |
(1A) | Section 87 above shall not apply as regards an agreement to transfer |
| |
securities of a particular kind to B or B’s nominee if— |
| 35 |
(a) | B is a member of a multilateral trading facility, or a |
| |
recognised foreign exchange, on which securities of that kind |
| |
| |
(b) | B is an intermediary and is recognised as such by the facility |
| |
or exchange in accordance with arrangements approved by |
| 40 |
| |
(c) | the agreement is effected on the facility or exchange. |
| |
(1B) | Section 87 above shall not apply as regards an agreement to transfer |
| |
securities of a particular kind to B or B’s nominee if— |
| |
(a) | B is an intermediary who is approved for the purposes of this |
| 45 |
section by the Commissioners; and |
| |
| |
| |
|
| |
| |
(b) | securities of that kind are regularly traded on a regulated |
| |
| |
(1C) | Section 87 above shall not apply as regards an agreement to transfer |
| |
securities of a particular kind to B or B’s nominee if— |
| |
(a) | B is an intermediary who is approved for the purposes of this |
| 5 |
section by the Commissioners; |
| |
(b) | securities of that kind are regularly traded on a multilateral |
| |
trading facility or a recognised foreign exchange; and |
| |
(c) | the agreement is effected on the facility or exchange. |
| |
(2) | Section 87 above shall not apply as regards an agreement to transfer |
| 10 |
securities of a particular kind to B or B’s nominee if— |
| |
(a) | B is a member of a regulated market, a multilateral trading |
| |
facility or a recognised foreign options exchange; |
| |
(b) | options to buy or sell securities of that kind are regularly |
| |
traded on, and are listed by or quoted on, that market, facility |
| 15 |
| |
(c) | B is an options intermediary and is recognised as such by that |
| |
market, facility or exchange in accordance with |
| |
arrangements approved by the Commissioners; and |
| |
(d) | securities of that kind are regularly traded on a regulated |
| 20 |
| |
(2A) | Section 87 above shall not apply as regards an agreement to transfer |
| |
securities of a particular kind to B or B’s nominee if— |
| |
(a) | B is a member of a regulated market, a multilateral trading |
| |
facility or a recognised foreign options exchange; |
| 25 |
(b) | options to buy or sell securities of that kind are regularly |
| |
traded on, and are listed by or quoted on, that market, facility |
| |
| |
(c) | B is an options intermediary and is recognised as such by that |
| |
market, facility or exchange in accordance with |
| 30 |
arrangements approved by the Commissioners; and |
| |
(d) | the agreement is effected on a relevant qualifying exchange |
| |
on which securities of that kind are regularly traded or is |
| |
effected on a relevant qualifying exchange pursuant to the |
| |
exercise of a relevant option and options to buy or sell |
| 35 |
securities of that kind are regularly traded on, and are listed |
| |
by or quoted on, that exchange; |
| |
| and in paragraph (d) “relevant qualifying exchange” means a |
| |
multilateral trading facility, a recognised foreign options exchange |
| |
or a recognised foreign exchange. |
| 40 |
(2B) | Section 87 above shall not apply as regards an agreement to transfer |
| |
securities of a particular kind to B or B’s nominee if— |
| |
(a) | B is an options intermediary who is approved for the |
| |
purposes of this section by the Commissioners; |
| |
(b) | options to buy or sell securities of that kind are regularly |
| 45 |
traded on, and are listed by or quoted on, a regulated market, |
| |
a multilateral trading facility or a recognised foreign options |
| |
| |
(c) | securities of that kind are regularly traded on a regulated |
| |
| 50 |
| |
| |
|
| |
| |
(2C) | Section 87 above shall not apply as regards an agreement to transfer |
| |
securities of a particular kind to B or B’s nominee if— |
| |
(a) | B is an options intermediary who is approved for the |
| |
purposes of this section by the Commissioners; |
| |
(b) | options to buy or sell securities of that kind are regularly |
| 5 |
traded on, and are listed by or quoted on, a regulated market, |
| |
a multilateral trading facility or a recognised foreign options |
| |
| |
(c) | the agreement is effected on a relevant qualifying exchange |
| |
on which securities of that kind are regularly traded or is |
| 10 |
effected on a relevant qualifying exchange pursuant to the |
| |
exercise of a relevant option and options to buy or sell |
| |
securities of that kind are regularly traded on, and are listed |
| |
by or quoted on, that exchange; |
| |
| and in paragraph (c) “relevant qualifying exchange” means a |
| 15 |
multilateral trading facility, a recognised foreign options exchange |
| |
or a recognised foreign exchange.” |
| |
(3) | In subsection (6) (meaning of sale being on an exchange)— |
| |
(a) | after “effected on” insert “a facility or”, |
| |
(b) | for “subsection (1) or (2) above” substitute “this section”, and |
| 20 |
(c) | for “the exchange” (in each place) substitute “the facility or |
| |
| |
(4) | After that subsection insert— |
| |
“(6A) | The Commissioners may approve a person for the purposes of this |
| |
section only if the person is authorised under the law of an EEA State |
| 25 |
to provide any of the investment services or activities listed in |
| |
Section A 2 or 3 of Annex I to the Directive (execution of orders on |
| |
behalf of clients and dealing on own account), whether or not the |
| |
person is authorised under the Directive.” |
| |
(5) | The amendments made by this paragraph have effect in relation to any |
| 30 |
agreement to transfer securities— |
| |
(a) | in a case where the agreement is conditional, if the condition is |
| |
satisfied on or after 1st November 2007, and |
| |
(b) | in any other case, if the agreement is made on or after that date. |
| |
4 (1) | Section 88B of FA 1986 (exemption from SDRT on sales to intermediaries: |
| 35 |
supplementary) is amended as follows. |
| |
| |
(a) | after the definition of “collective investment scheme” insert— |
| |
““the Directive” means Directive 2004/39/EC of the |
| |
European Parliament and of the Council of 21 April |
| 40 |
2004 on markets in financial instruments, as amended |
| |
| |
(b) | omit the definition of “EEA exchange”, and |
| |
(c) | in the definition of “EEA State”, for “means a State which” substitute |
| |
“, in relation to any time, means a State which at that time is a |
| 45 |
member State or any other State which at that time” and insert at the |
| |
end “(as modified or supplemented from time to time)”. |
| |
| |
| |
|
| |
| |
(3) | After that subsection insert— |
| |
“(2A) | Each of the following expressions— |
| |
“multilateral trading facility”, and |
| |
| |
| has the same meaning in section 88A above as it has for the purposes |
| 5 |
| |
(4) | After subsection (3) insert— |
| |
“(3A) | The Treasury may by regulations amend section 88A above and this |
| |
section (as they have effect for the time being) in order to extend the |
| |
exemption from tax under that section.” |
| 10 |
(5) | In subsection (5) (power for regulations to provide for SDRT to be |
| |
chargeable at a rate not exceeding 0.1%), for “subsection (1) or (2)” substitute |
| |
“any of subsections (1) to (2C)”. |
| |
(6) | In subsection (7) (regulations exercisable by statutory instrument and |
| |
subject to annulment), for “(4)” substitute “(3A)”. |
| 15 |
(7) | The amendments made by this paragraph have effect in relation to any |
| |
agreement to transfer securities— |
| |
(a) | in a case where the agreement is conditional, if the condition is |
| |
satisfied on or after 1st November 2007, and |
| |
(b) | in any other case, if the agreement is made on or after that date. |
| 20 |
Repurchases and stock lending |
| |
5 (1) | Section 80C of FA 1986 (exemption from stamp duty: repurchases and stock |
| |
lending) is amended as follows. |
| |
(2) | In subsection (1) (application of section), after “conditions set out in |
| |
subsection” insert “(2A) or”. |
| 25 |
(3) | After subsection (2) insert— |
| |
“(2A) | The conditions in this subsection are— |
| |
(a) | that A or B is authorised under the law of an EEA State to |
| |
provide any of the investment services or activities listed in |
| |
Section A 2 or 3 of Annex I to the Directive (execution of |
| 30 |
orders on behalf of clients and dealing on own account) in |
| |
relation to stock of the kind concerned, whether or not A or B |
| |
is authorised under the Directive; and |
| |
(b) | that stock of the kind concerned is regularly traded on a |
| |
| 35 |
(4) | In subsection (3) (conditions for exemption)— |
| |
(a) | after “The conditions” insert “in this subsection”, |
| |
(b) | for “an EEA exchange” substitute “a regulated market, a multilateral |
| |
| |
(c) | after “on that” insert “market, facility or”. |
| 40 |
(5) | In subsection (6) (meaning of arrangement being on an exchange)— |
| |
(a) | after “effected on” insert “a market, a facility or”, and |
| |
(b) | for “the exchange” (in each place) substitute “the market, facility or |
| |
| |
| |
| |
|
| |
| |
| |
(a) | after “In this section—” insert— |
| |
““the Directive” has the meaning given in section 80B(2) |
| |
| |
“EEA State” has the meaning given in section 80B(2) |
| 5 |
| |
(b) | omit the definition of “EEA exchange” (together with the “and” at the |
| |
| |
(7) | After that subsection insert— |
| |
“(7A) | Each of the following expressions— |
| 10 |
“multilateral trading facility”, and |
| |
| |
| has the same meaning in this section as it has for the purposes of the |
| |
| |
(8) | The amendments made by this paragraph have effect in relation to any |
| 15 |
instrument executed on or after 1st November 2007. |
| |
6 (1) | Section 89AA of FA 1986 (exemption from SDRT: repurchases and stock |
| |
lending) is amended as follows. |
| |
(2) | In subsection (1) (application of section), after “conditions set out in |
| |
subsection” insert “(2A) or”. |
| 20 |
(3) | After subsection (2) insert— |
| |
“(2A) | The conditions in this subsection are— |
| |
(a) | that P or Q is authorised under the law of an EEA State to |
| |
provide any of the investment services or activities listed in |
| |
Section A 2 or 3 of Annex I to the Directive (execution of |
| 25 |
orders on behalf of clients and dealing on own account) in |
| |
relation to securities of the kind concerned, whether or not P |
| |
or Q is authorised under the Directive; and |
| |
(b) | that securities of the kind concerned are regularly traded on |
| |
| 30 |
(4) | In subsection (3) (conditions for exemption)— |
| |
(a) | after “The conditions” insert “in this subsection”, |
| |
(b) | for “an EEA exchange” substitute “a regulated market, a multilateral |
| |
| |
(c) | after “on that” insert “market, facility or”. |
| 35 |
(5) | In subsection (5) (meaning of arrangement being on an exchange)— |
| |
(a) | after “effected on” insert “a market, a facility or”, and |
| |
(b) | for “the exchange” (in each place) substitute “the market, facility or |
| |
| |
| 40 |
(a) | after “In this section—” insert— |
| |
““the Directive” has the meaning given in section 88B(2) |
| |
| |
“EEA State” has the meaning given in section 88B(2) |
| |
| 45 |
| |
| |
|
| |
| |
(b) | omit the definition of “EEA exchange”. |
| |
(7) | After that subsection insert— |
| |
“(6A) | Each of the following expressions— |
| |
“multilateral trading facility”, and |
| |
| 5 |
| has the same meaning in this section as it has for the purposes of the |
| |
| |
(8) | The amendments made by this paragraph have effect in relation to any |
| |
agreement to transfer securities— |
| |
(a) | in a case where the agreement is conditional, if the condition is |
| 10 |
satisfied on or after 1st November 2007, and |
| |
(b) | in any other case, if the agreement is made on or after that date. |
| |
Exemptions from stamp duty and SDRT in cases involving recognised investment exchanges |
| |
7 (1) | In section 116 of FA 1991 (stamp duty: investment exchanges and clearing |
| |
houses), subsection (4) is amended as follows. |
| 15 |
(2) | After “In this section—” insert— |
| |
“(aa) | “the Directive” means Directive 2004/39/EC of the European |
| |
Parliament and of the Council of 21 April 2004 on markets in |
| |
financial instruments, as amended from time to time,”. |
| |
(3) | In paragraph (b) (definition of “recognised investment exchange”), after |
| 20 |
“2000” insert “, a regulated market within the meaning of the Directive or a |
| |
multilateral trading facility within the meaning of the Directive”. |
| |
| |
8 (1) | In F(No.2)A 2005, omit section 50 (power to extend stamp duty and SDRT |
| |
exemptions to recognised exchanges). |
| 25 |
(2) | This paragraph comes into force on 1st November 2007. |
| |
| |
| |
Amendments and repeals consequential on extension of HMRC powers |
| |
| |
| 30 |
1 | In section 20D(1) of TMA 1970, for “sections 20A, 20BA and 20C” substitute |
| |
| |
2 | In section 67 of the Criminal Justice and Police Act 2001 (c. 16) and the |
| |
heading of that section, for “customs officers” substitute “officers of Revenue |
| |
| 35 |
| |
| |
|
