[F187NSections 87 and 87A: disregard of payments to migrating beneficiaryU.K.
(1)For the purposes of sections 87 and 87A as they apply in relation to a settlement for a particular tax year, no account is to be taken of a capital payment (or part of a capital payment) within subsection (2), but this is subject to section 87P.
(2)A capital payment is within this subsection—
(a)if it is received by a beneficiary of the settlement before the particular tax year,
(b)if the relevant person is resident in the United Kingdom in the tax year in which it is received,
(c)if the relevant person is not resident in the United Kingdom in the particular tax year, and
(d)so far as it has not been matched (under section 87A as it applies for tax years before the particular tax year) with—
(i)[F2the section 1(3) amount] for any tax year before the particular tax year, but not earlier than the tax year 2018-19, in which the relevant person is resident in the United Kingdom, or
(ii)[F3the section 1(3) amount] for any tax year earlier than the tax year 2018-19.
(3)For the purposes of subsection (2), the beneficiary is “the relevant person” unless section 87G(2) applies in relation to the capital payment in which event the settlor is “the relevant person”.]
Textual Amendments
F1Ss. 87D-87P inserted (with effect in accordance with Sch. 10 para. 1(12)-(15) of the amending Act) by Finance Act 2018 (c. 3), Sch. 10 para. 1(1)
F2Words in s. 87N(2)(d)(i) substituted (with effect in accordance with Sch. 1 paras. 120, 123 of the amending Act) by Finance Act 2019 (c. 1), Sch. 1 para. 39
F3Words in s. 87N(2)(d)(ii) substituted (with effect in accordance with Sch. 1 paras. 120, 123 of the amending Act) by Finance Act 2019 (c. 1), Sch. 1 para. 39