Finance Act 1993 (c. 34)

Part II U.K. Income Tax, Corporation Tax and Capital Gains Tax

Chapter III U.K. Lloyd’s Underwriters etc.

Modifications etc. (not altering text)

C1 Pt. II Chapter III applied (1.5.1995 with application as mentioned in s. 127(19) of the amending Act) by 1995 c. 4, s. 127(16)(a)(19)

C2 Pt. II Chapter III modified (1.12.1997 with effect with respect to accounting periods of Lloyd's Scottish limited partnerships ending on or after that date) by S.I. 1997/2681, reg. 3(1)(a)

Supplemental U.K.

184 Interpretation and commencement. U.K.

(1) In this Chapter, unless the context otherwise requires—

• “ancillary trust fund”, in relation to a member, does not include a premiums trust fund of his or his special reserve fund (if any) but, subject to that, means any trust fund required or authorised by the rules of Lloyd’s, or required by a members’ agent of his or the managing agent of a syndicate of which he is a member;

• “closing year”—

  (a)

  in relation to a year of assessment, means the year of assessment next but one following that year;

  (b)

  in relation to an underwriting year, means the underwriting year next but one following that year; and

  (c)

  in relation to a syndicate, means the closing year of the underwriting year for which it was formed;

• “the Gains Tax Act” means the M1 Taxation of Chargeable Gains Act 1992 and

• “the Gains Tax Acts” means that Act and any other enactments relating to capital gains tax;

• “the High Level Stop Loss Fund” means the fund of that name which, under the rules of Lloyd’s, has been established for the year 1993 and subsequent underwriting years;

• “inspector” includes any officer of the Board;

• “the Management Act” means the M2 Taxes Management Act 1970;

• “managing agent”, in relation to a syndicate and a year of assessment, means—

  (a)

  the person registered as a managing agent at Lloyd’s who was acting as such an agent for the syndicate at the end of the corresponding underwriting year, or

  (b)

  such other person as may be determined in accordance with regulations made by the Board;

• “member” means a member of Lloyd’s who is or has been an underwriting member;

• “members’ agent”, in relation to a member of a syndicate and a year of assessment, means—

  (a)

  the person registered as a members’ agent at Lloyd’s who was acting as such an agent for the member at the end of the corresponding underwriting year, or

  (b)

  if two or more such persons were so acting and one of them was appointed by the member to be responsible for complying with the requirements of Part II of Schedule 19 to this Act in relation to all of the syndicates of which he is a member, that person, or

  (c)

  if two or more such persons were so acting and none of them was so appointed, the person who was so acting for the member in his capacity as a member of the syndicate, or

  (d)

  such other person as may be determined in accordance with regulations made by the Board;

• “premiums trust fund” means such a trust fund as is referred to in section 83 of the M3 Insurance Companies Act 1982;

• “prescribed” means prescribed by regulations made by the Board;

• “profits” includes gains;

• “special reserve fund”, unless the contrary intention appears, means a special reserve fund set up under the arrangements mentioned in section 175(1) above;

• “stop-loss insurance” means any insurance taken out by a member against losses in his underwriting business;

• “syndicate” means a syndicate of underwriting members of Lloyd’s formed for an underwriting year;

• “underwriting business”, in relation to a member, means his underwriting business as a member of Lloyd’s, whether carried on personally or through an underwriting agent, and does not include any other business carried on by him, and in particular, where he is himself an underwriting agent, does not include his business as such an agent;

• “underwriting year” means the calendar year.

(2) For the purposes of this Chapter—

(a) an underwriting year and a year of assessment shall be deemed to correspond to each other if the underwriting year ends in the year of assessment;

(b) the profits or losses of a member’s underwriting business include profits or losses arising to him from assets forming part of a premiums trust fund or an ancillary trust fund; and

(c) any charge made on a member by the agent of a syndicate of which he is a member, and any expense incurred on his behalf by the agent of such a syndicate, shall be treated as expenses arising directly from his membership of that syndicate.

(3) Subject to any provision to the contrary, the provisions of this Chapter have effect for the year 1992-93 and subsequent years of assessment.

Marginal Citations

M1 1992 c. 12.

M2 1970 c. 9.

M3 1982 c. 50.