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28 Apr 2009 : Column 827

(a) where the relief is in respect of a loss made in the tax year 2008-09, on or before the first anniversary of the normal self-assessment filing date for that tax year, and

(b) where the relief is in respect of a loss made in the tax year 2009-10, on or before the first anniversary of the normal self-assessment filing date for that tax year.

(14) This Resolution applies to professions and vocations as it applies to trades.

(15) This Resolution is subject to paragraph 2 of Schedule IB to the Taxes Management Act 1970 (claims for loss relief involving 2 or more years).

(16) Sections 61 to 63 of the Income Tax Act 2007 (meaning of “making a loss in a tax year” etc and prohibition against double counting) have effect as if this Resolution were included in Chapter 2 of Part 4 of that Act.

(17) Subsections (1) to (3) of section 127 of that Act (UK furnished holiday lettings business treated as trade) have effect as if this Resolution were included in Part 4 of that Act.

(18) The reference in paragraph 3(1) of Schedule 2 to the Social Security Contributions and Benefits Act 1992 and Social Security Contributions and Benefits (Northern Ireland) Act 1992 (levy of Class 4 contributions with income tax) to section 64 of the Income Tax Act 2007 includes this Resolution.

21. Extension of loss carry back provisions (corporation tax)

Resolved,

That—

(1) Section 393A of the Income and Corporation Taxes Act 1988 (losses: set off against profits of same or earlier accounting period) has effect in relation to any loss to which this Resolution applies as if, in subsection (2) of that section, “3 years” were substituted for “twelve months” (but subject as follows).

(2) This Resolution applies to any loss incurred by a company in a trade in a relevant accounting period (but subject to paragraph (3)); and a relevant accounting period is one ending after 23 November 2008 and before 24 November 2010.

(3) The maximum amount of loss to which this Resolution applies in the case of any company is—

(a) £50,000 in relation to losses incurred in relevant accounting periods ending after 23 November 2008 and before 24 November 2009, and

(b) £50,000 in relation to losses incurred in relevant accounting periods ending after 23 November 2009 and before 24 November 2010;

and the overall limit or limits apply whether a loss is incurred by the company in only one relevant accounting period or losses are so incurred in more than one such period.

(4) Subject to that, if in the case of the company the length of a relevant accounting period is less than one year, the maximum amount of the loss incurred in that period that may be set off under section 393A of the Income and Corporation Taxes Act 1988 by virtue of this Resolution is the relevant proportion of £50,000.

(5) “The relevant proportion” is—

where—

RAP is the number of days in the relevant accounting period, and Y is 365.

(6) The reference in subsection (2C) of section 393A of the Income and Corporation Taxes Act 1988 to so much of the loss referred to in that subsection not falling within subsection (2B) of that section as does not exceed the amount of the allowance mentioned in subsection (2C)(b) (“the subsection (2C) loss”) has
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effect in relation to a relevant accounting period as a reference to so much of the subsection (2C) loss as exceeds that which can be set off under section 393A of the Income and Corporation Taxes Act 1988 by virtue of this Resolution.

22. Agreements to forgo tax reliefs

Resolved,

23. Land remediation

Resolved,

24. Chargeable gains

Resolved,

25. Group relief

Resolved,

26. Expenditure on cars and motor cycles

Resolved,

27. Payments under FSCS

Resolved,

That—

(1) Chapter 2 of Part 4 of the Income Tax (Trading and Other Income) Act 2005 (interest) is amended as follows.

(2) In section 369(2) (list of provisions extending what is treated as interest for certain purposes), after “bonds),” insert—

“section 380A (FSCS payments representing interest),”.

(3) After section 380 insert—

“380A FSCS payments representing interest

(1) Any payment representing interest which is made under the FSCS is treated as interest for the purposes of this Act.

(2) “Payment representing interest” means a payment calculated in the same way as Interest which would have been paid to the recipient but for the circumstances giving rise to the making of payments under the FSCS.

(3) Where a payment representing interest is made net of an amount equal to a sum representing income tax that would have been deducted on the payment of interest, the amount treated as interest by this section is the aggregate of the payment representing interest and that sum.

(4) This section applies to payments made under the FSCS whether or not they are made (in whole or in part) on behalf of the Treasury or any other person.

(5) In this section “FSCS” means the Financial Services Compensation Scheme (established under Part 15 of the Financial Services and Markets Act 2000).”

(4) In the Income Tax Act 2007, after section 979 insert—

“979A FSCS payments representing interest

(1) This section applies where a payment is made under the FSCS representing interest net of an amount equal to a sum representing income tax that would have been deducted on the payment of interest but for the circumstances giving rise to the making of payments under the FSCS.


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(2) A payment of the relevant gross amount is treated as having been made under the FSCS after there has been deducted from it a sum representing income tax of that amount.

(3) That sum is accordingly taken into account under section 59B of TMA 1970 in determining the income tax payable by, or repayable to, the recipient.

(4) “The relevant gross amount” means the aggregate of the amount of the payment representing interest which is made and that sum.

(5) If the recipient requests it in writing, the scheme manager of the FSCS must provide the recipient with a statement showing—

(a) the relevant gross amount,

(b) the amount of the sum treated as deducted, and

(c) the amount of the payment representing interest.

(6) The duty to comply with a request under subsection (5) is enforceable by the recipient.

(7) In this section—

“FSCS” means the Financial Services Compensation Scheme (established under Part 15 of the Financial Services and Markets Act 2000), and

“payment representing interest” has the same meaning as in section 380A of ITTOIA 2005.”

(5) The amendments made by this Resolution have effect in relation to payments made on or after 6 October 2008.

28. Company distributions

Resolved,

29. Financing costs of group companies

Resolved,

30. Controlled foreign companies

Resolved,

31. Foreign currency accounting

Resolved,

32. Offshore funds

Resolved,

33. Income tax credits for foreign distributions

Resolved,

34. Loan relationships and derivatives

Resolved,


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35. Dividends of investment trusts

Resolved,

36. Insurance companies

Resolved,

37. Disguised interest

Resolved,

38. Transfers of income streams

Resolved,

39. SAYE schemes

Resolved,

That—

(1) Chapter 4 of Part 6 of the Income Tax (Trading and Other Income) Act 2005 (SAYE interest) is amended as follows.

(2) In section 705 (certification of arrangements)—

(a) in subsections (1) and (2), for “Treasury” (in each place) substitute “Commissioners”, and

(b) after subsection (4) insert—

“(5) In this Chapter “the Commissioners” means the Commissioners for Her Majesty’s Revenue and Customs.”

(3) In section 706(1) and (2) (withdrawal and variation of certifications etc), for “Treasury” substitute “Commissioners”.

(4) In section 707(1) (authorisation of providers), for “Treasury” substitute “Commissioners”.

(5) In section 708 (withdrawal and variation of authorisations)—

(a) in subsections (1) and (2), for “Treasury” substitute “Commissioners”, and

(b) in subsection (4), for “Treasury of its” substitute “Commissioners of their”.

(6) In the following provisions omit “by post”—

(a) section 706(2)(b) (notification of withdrawal and variation of certifications etc), and

(b) section 708(2)(b) (notification of withdrawal and variation of authorisations).

(7) In section 706(2)(b) (notification of withdrawal and variation of certifications etc) for “28 days” substitute “15 days”.

(8) In section 706(3) (transitional provision for withdrawals and variations of certifications) for the words from “the operation of to the end substitute—

“(a) the operation of the arrangement concerned before that date,

(b) contracts made under that arrangement before that date, or

(c) where the notice so provides, contracts which are of a description specified in the notice and are made under that arrangement after that date.”

(9) The amendments made by this Resolution come into force on 29 April 2009.


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40. Remittance basis

Resolved,

41. Double taxation relief

Resolved,

42. Avoidance involving financial arrangements

Resolved,

(a) relief for interest on loans, and

(b) manufactured interest.

43. Sale of lessor companies etc

Resolved,

44. Leases of plant or machinery

Resolved,

45. Real Estate Investment Trusts

Resolved,


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