PART 3REPORTING FUNDS AND THE TREATMENT OF PARTICIPANTS IN REPORTING FUNDS
CHAPTER 8THE TAX TREATMENT OF PARTICIPANTS IN REPORTING FUNDS
Tax treatment of the reported income of the fund in the hands of participants
Participants chargeable to income tax: other non-transparent funds96
1
This regulation applies if—
a
a reporting fund makes a distribution to a participant chargeable to income tax in respect of a reporting period,
b
the fund falls within paragraph (b) or (c) of section 40A(2) of FA 2008, and
c
the fund is not a transparent fund.
2
This regulation also applies if some or all of the excess specified in regulation 94(1) is treated as made by such a fund to such a participant.
3
Any amount to which paragraph (1) or (2) applies is charged to income tax—
a
under section 378A of ITTOIA 2005 (offshore fund distributions), or
b
(if that section does not apply) under Chapter 8 of Part 5 of ITTOIA 2005 (miscellaneous income: income not otherwise charged) for the year of assessment in which the distribution is made, but sections 688(1) and 689 of ITTOIA 2005 M1 (income charged and person liable) do not apply.