Consideration of Bill: 2nd July 2008

2947

Finance Bill, continued

Mr Chancellor of the Exchequer

65

Page  198,  line  28  [Schedule  7],  after ‘Kingdom’, insert ‘(“the interest”)’.

Mr Chancellor of the Exchequer

66

Page  198,  line  29  [Schedule  7],  leave out ‘was secured on that interest’ and insert ‘,

or of payments made under a guarantee of that repayment (“the guarantee”), was secured

on the interest.’.

Mr Chancellor of the Exchequer

67

Page  198,  line  35  [Schedule  7],  after ‘made’, insert ‘, or any term of the guarantee,’.

Mr Chancellor of the Exchequer

68

Page  198,  line  36  [Schedule  7],  leave out paragraphs (b) and (c) and insert—

‘(b)	repayment of the debt, or of payments made under the guarantee,

ceases to be secured on the interest,

(c)	repayment of any other debt is secured on the interest or is guaranteed

by the guarantee, or’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

17

Page  198  [Schedule  7],  leave out line 38 and insert ‘or’.

Mr Chancellor of the Exchequer

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

18

Page  199  [Schedule  7],  leave out line 5.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

19

Page  199,  line  6  [Schedule  7],  after ‘money’, insert ‘, or directed that the money be

used,’.

Mr Chancellor of the Exchequer

70

Page  199,  line  8  [Schedule  7],  leave out from ‘loan’ to end of line 9 and insert ‘, or

of payments made under a guarantee of that repayment, was secured on the interest,’.

Consideration of Bill: 2nd July 2008

2948

Finance Bill, continued

Mr Chancellor of the Exchequer

71

Page  199,  line  14  [Schedule  7],  at end insert—

‘(6)	In this paragraph “guarantee” includes an indemnity, and “guaranteed” is to be

read accordingly.’.

Mr Chancellor of the Exchequer

72

Page  199,  line  29  [Schedule  7],  after ‘gain)’, insert ‘—

(a)

’.

Mr Chancellor of the Exchequer

73

Page  199,  line  32  [Schedule  7],  at end insert ‘, and

(b)	after subsection (7) insert—

“(8)	Nothing in subsection (7) affects the application of this

section in relation to an offshore income gain treated as

arising by virtue of section 762(3).”’.

Mr Chancellor of the Exchequer

74

Page  200,  line  30  [Schedule  7],  leave out from ‘Kingdom’ to ‘as’ in line 31.

Mr Chancellor of the Exchequer

75

Page  201,  line  18  [Schedule  7],  leave out from ‘purposes of’ to end of line 19 and

insert ‘Chapter A1 of Part 14 of ITA 2007 (remittance basis)—’.

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

96

Page  201,  line  41  [Schedule  7],  leave out paragraph 98.

Mr Chancellor of the Exchequer

76

Page  203,  line  37  [Schedule  7],  leave out from ‘purposes of’ to end of line 38 and

insert ‘Chapter A1 of Part 14 of ITA 2007 (remittance basis)—’.

Consideration of Bill: 2nd July 2008

2949

Finance Bill, continued

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

97

Page  204,  line  10  [Schedule  7],  leave out paragraph 105.

Mr Chancellor of the Exchequer

77

Page  206,  line  20  [Schedule  7],  leave out from ‘purposes of’ to ‘treat’ in line 21 and

insert ‘Chapter A1 of Part 14 of ITA 2007 (remittance basis),’.

Mr Chancellor of the Exchequer

78

Page  207,  line  25  [Schedule  7],  leave out from ‘if’ to ‘transfer’ in line 28 and insert

‘the trustees of a settlement (“the transferor settlement”)’.

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

98

Page  209,  line  19  [Schedule  7],  leave out paragraph 115.

Mr Chancellor of the Exchequer

79

Page  212,  line  38  [Schedule  7],  leave out paragraph 124.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

16

Page  214,  line  27  [Schedule  7],  at end insert—

‘(11A)

For the avoidance of doubt, where after 6th April 2008 a re-organisation has

taken place which meets the conditions in section 127 of TCGA 1992, the new

holding (or part of that holding) is a relevant asset if the condition in sub-

paragraph (10)(b) or the conditions in sub-paragraphs (11)(b) and (c) would be

Consideration of Bill: 2nd July 2008

2950

Finance Bill, continued

met were the references there to the asset to be read as references to the new

asset or the original asset.’.

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

99

Page  221,  line  9  [Schedule  7],  leave out paragraph 148.

Mr Chancellor of the Exchequer

80

Page  223,  line  1  [Schedule  7],  leave out from ‘purposes of’ to end of line 2 and

insert ‘Chapter A1 of Part 14 (remittance basis)—’.

Mr Chancellor of the Exchequer

81

Page  223,  line  7  [Schedule  7],  after ‘to’, insert ‘(or exceeding)’.

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

100

Page  223,  line  14  [Schedule  7],  leave out paragraph 161.

Mr Chancellor of the Exchequer

82

Page  223,  line  41  [Schedule  7],  leave out from ‘purposes of’ to ‘treat’ in line 42 and

insert ‘Chapter A1 of Part 14 (remittance basis),’.

Mr Chancellor of the Exchequer

83

Page  224,  line  18  [Schedule  7],  leave out from ‘purposes of’ to ‘treat’ in line 19 and

insert ‘Chapter A1 of Part 14 (remittance basis),’.

Mr Chancellor of the Exchequer

84

Page  224,  line  40  [Schedule  7],  leave out from ‘purposes of’ to ‘treat’ in line 41 and

insert ‘Chapter A1 of Part 14 (remittance basis),’.

Consideration of Bill: 2nd July 2008

2951

Finance Bill, continued

Mr Chancellor of the Exchequer

85

Page  225,  line  9  [Schedule  7],  after ‘gains’, insert ‘or offshore income gains’.

Mr Chancellor of the Exchequer

86

Page  225,  line  45  [Schedule  7],  at end insert—

‘(4A)

For those purposes treat income for a period as arising immediately

before the end of the period.’.

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

101

Page  226,  line  1  [Schedule  7],  leave out paragraph 171.

Mr Chancellor of the Exchequer

87

Page  226,  line  2  [Schedule  7],  at end insert—

‘General

172	For the purposes of this Part of this Schedule, the market value of any asset is

its market value for the purposes of TCGA 1992.’.

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

95

Page  226,  line  2  [Schedule  7],  at end insert—

‘172	The amendments made by Part 2 of this Schedule shall have effect from 6th

April 2009.’.

Mr Chancellor of the Exchequer

30

Page  270,  line  35  [Schedule  17],  leave out from beginning to ‘and’ in line 36.

Mr Chancellor of the Exchequer

31

Page  271,  line  14  [Schedule  17],  after ‘period’, insert ‘and distributions received

by the company in the accounting period from companies resident in the United Kingdom

so far as referable (in accordance with section 432A of the Taxes Act 1988) to the

Consideration of Bill: 2nd July 2008

2952

Finance Bill, continued

company’s basic life assurance and general annuity business’.

Mr Chancellor of the Exchequer

32

Page  272,  line  8  [Schedule  17],  at end insert—

‘Insurance special purpose vehicles

19A	In section 431A of ICTA (powers to amend), after subsection (2) insert—

“(2A)

The Treasury may by order make provision as to the application of the

Corporation Tax Acts in relation to insurance special purpose

vehicles.

(2B)	An order under subsection (2A) above may in particular contain

provision—

(a)	making amendments of any provision of the Corporation Tax

Acts, or

(b)	making provision for the life assurance provisions of the

Corporation Tax Acts to have effect in relation to any

specified description of insurance special purpose vehicles

subject to specified modifications or exceptions.

(2C)	An order under subsection (2A) above—

(a)	may make provision having effect in relation to accounting

periods current when it is made, and

(b)	if it is made in consequence of, or otherwise in connection

with, provision made by any enactment or instrument, may

make provision having effect in relation to the same times as

that enactment or instrument.”’.

Mr Chancellor of the Exchequer

33

Page  275,  line  31  [Schedule  17],  at end insert—

‘(3)	But that amendment does not have effect (and is to be treated as never having

had effect) in relation to a company if a relevant determination is made in

proceedings commenced by the company before 15 May 2008 and is not

reversed on an appeal or further appeal.

(4)	A relevant determination is a determination that losses incurred in an

accounting period earlier than that in which 31 December 2002 was included

are to be taken into account for the purposes of section 89 of FA 1989 in

arriving at Case I profits for accounting periods—

(a)	beginning on or after 1 January 2003, and

(b)	ending on or before 31 December 2006.’.

Consideration of Bill: 2nd July 2008

2953

Finance Bill, continued

Order of the House [21st APRIL 2008]

That the following provisions shall apply to the Finance Bill:

1.	Clauses 3, 5, 6, 15, 21, 49, 90 and 117 and new Clauses amending section 74

of the Finance Act 2003 be committed to a Committee of the whole House;

2.	the remainder of the Bill be committed to a Public Bill Committee; and

3.	when the provisions of the Bill considered by the Committee of the whole

House and the Public Bill Committee have been reported to the House, the

Bill be proceeded with as if it had been reported as a whole to the House from

the Public Bill Committee.

order of the house [1st july 2008]

That the order in which proceedings on consideration of the Finance Bill are taken shall

be: new Clauses relating to income tax; amendments relating to Clauses 1 to 3 and

Schedule 1; new Clauses relating to the powers of HM Revenue and Customs;

amendments relating to Part 7; new Clauses relating to inheritance tax; amendments

relating to Clause 8 and Schedule 4; new Clauses relating to information about and

simplification of taxation; amendments relating to Schedule 3; new Clauses relating to

vehicle excise duty and fuel duties; amendments relating to Clauses 15 and 75 and

Schedules 7 and 17; remaining proceedings.

---

Revised 2 July 2008