House of Commons Amendments

House of Commons

Session 2007 - 08
Internet Publications
Other Bills before Parliament

Notices of Amendments: 10th June 2008
296

Finance Bill, continued

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

388

Schedule  7,  page  187,  line  10,  leave out ‘Relevant foreign income’ and insert

‘Foreign income and gains’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

389

Schedule  7,  page  187,  leave out lines 13 to 19.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

390

Schedule  7,  page  189,  line  17,  leave out from ‘12’ to end of line 18.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

391

Schedule  7,  page  189,  line  36,  at end insert—

‘93A (1)
The following provisions apply to a company if—

(a)
section 13 of TCGA 1992 applies to the company for the tax year

2008-09, and

(b)
the directors of the company have not opted out from the provisions

within this paragraph.

      (2)
An election to opt out from the provisions within this paragraph may only be

made on or before the anniversary of the first 31st January to occur after the

end of the first tax year (beginning with the tax year 2008-09) in which

chargeable gains are attributed under section 13 of TCGA 1992 to a participant

in the offshore company.

      (3)
An election under sub-paragraph (2) is irrevocable and must be made in the

way and form specified by the Commissioners for Her Majesty’s Revenue and

Customs.

      (4)
The only information that need be provided in the course of making the

election is the name of the offshore company and the name of the director

making the election.

      (5)
Sub-paragraph (7) applies if—

(a)
chargeable gains are treated under section 13 of TCGA 1992 as

accruing to an individual in a tax year, and

(b)
the individual is resident, but not domiciled, in the United Kingdom in

that year.

      (6)
The individual is not charged to capital gains tax on so must of the aggregate

chargeable gains attributed to him in the tax year as exceeds the relevant

proportion of the gains.

      (7)
The relevant proportion is A/B where—

Notices of Amendments: 10th June 2008
297

Finance Bill, continued

  A is the portion of the gain that would what have been treated as accruing

to the participator, if immediately before 6 April 2008 every relevant

asset had been sold by the directors and immediately re-acquired by them

at the market value at that time; and

  B is the actual gain attributed to the individual.

      (8)
For the purposes of sub-paragraph (7) an asset is a “relevant asset” if—

(a)
by reason of the asset, a chargeable gain or allowable loss accrues to

the trustees in the relevant tax year, and

(b)
the asset has been comprised in the company from the beginning of 6

April 2008 until the time of the event giving rise to the chargeable gain

or allowable loss.’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

392

Schedule  7,  page  196,  line  28,  leave out ‘made an election under this sub-

paragraph’ and insert ‘have not opted out from the provisions within this paragraph’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

393

Schedule  7,  page  196,  line  30,  leave out ‘An election under sub-paragraph (1)’ and

insert ‘An election to opt out from the provisions within this paragraph’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

394

Schedule  7,  page  196,  line  30,  after ‘the’, insert ‘anniversary of the’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

395

Schedule  7,  page  196,  line  40,  leave out ‘(1)’ and insert ‘(2)’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

396

Schedule  7,  page  196,  line  42,  at end insert—

  ‘(4A)
The only information that need be provided in the course of making the

election is the name of the trust and the name of the trustee making the

election.’.

Notices of Amendments: 10th June 2008
298

Finance Bill, continued

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

397

Schedule  7,  page  197,  line  24,  at end insert ‘and’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

398

Schedule  7,  page  197,  line  27,  leave out from ‘gains’ to end of line 34.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

399

Schedule  7,  page  184,  line  37,  leave out ‘2008’ and insert ‘2009’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

400

Schedule  7,  page  184,  line  39,  leave out ‘2008-09’ and insert ‘2009-10’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

401

Schedule  7,  page  184,  line  39,  at end insert ‘, except for the amendment made by

paragraph 1 to insert a new section 809G in Part 14 of ITA 2007, which has effect for the

tax year 2008-09 and subsequent tax years.’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

402

Schedule  7,  page  152,  line  2,  at end insert—

    ‘(4)
The Treasury must lay before the House of Commons annually a report setting

out the cost of administering the domicile regime.

      (5)
Each report made under subsection (4) must identify the level of unremitted

foreign income and gains at which the revenue raised exceeds both the cost of

collection by HMRC and the cost of compliance by the taxpayers.’.