Yn ddilys o 19/07/2007
[F2444ABCTransfer scheme transferring part of business: transferorU.K.
(1)This section applies where an insurance business transfer scheme has effect to transfer part (but not the whole or substantially the whole) of the long-term business of a person (“the transferor”) to another person (“the transferee”) and the condition in subsection (2) below is met.
(2)That condition is that any of the assets of the transferor's long-term insurance fund which are transferred from the transferor to the transferee by the insurance business transfer scheme are not, immediately after their transfer—
(a)if the transferee is an insurance company, assets of the transferee's long-term insurance fund, or
(b)if the transferee is not an insurance company, assets of a with-profits fund of the transferee,
(“relevant non-transferred assets”).
(3)The relevant amount in relation to the relevant non-transferred assets (see subsection (4) below) is to be taken into account under section 83(2) of the Finance Act 1989 as an increase in value of the assets of the long-term insurance fund of the transferor for the period of account covering the transfer date.
(4)The relevant amount in relation to the relevant non-transferred assets is—
where
FVA is the fair value of the assets on the transfer date, and
BTO is any amount brought into account in respect of the assets as a business transfer-out.
(5)See section 444AA for the meaning of “the transfer date” in this section.]
Textual Amendments
F2Ss. 444AB-444ABC substituted for ss. 444AB, 444ABA (with effect in accordance with Sch. 9 para. 17(2) of the amending Act) by Finance Act 2007 (c. 11), Sch. 9 para. 4(1); S.I. 2008/379, art. 2