[F1151U Treatment of bond-holder and bond-issuerU.K.
(1)This section applies for the purposes of this Act and any other enactment about capital gains tax and irrespective of the position for other purposes.
(2)The bond-holder under investment bond arrangements is not treated as having a legal or beneficial interest in the bond assets.
(3)The bond-issuer under such arrangements is not treated as a trustee of the bond assets.
(4)Gains accruing to the bond-issuer in connection with the bond assets are gains of the bond-issuer and not of the bond-holder (and do not arise to the bond-issuer in a fiduciary or representative capacity).
(5)Payments made by the bond-issuer by way of redemption payment or additional payment are not made in a fiduciary or representative capacity.
(6)The bond-holder is not entitled to relief for capital expenditure in connection with the bond assets.
(7)Expressions used in this section have the same meaning as in section 151N.]
Textual Amendments
F1S. 151U inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 2 para. 41 (with Sch. 9 paras. 1-9, 22)