Finance Act 1993

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 [F1premium] 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 F2. . .;

  • “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 M1Taxation 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 M2Taxes 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 [F3an individual who is a member of Lloyd’s and] 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 [F4the Lloyd’s Underwriters (Tax) Regulations 2005] 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;

  • [F5“premium trust fund” means a trust fund into which premiums receivable by members are paid in compliance with a trust deed under [F6section 17.7 of the Lloyd’s Sourcebook] made by the Financial Services Authority under the Financial Services and Markets Act 2000 F7;]

  • “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 [F8, except insurance taken out by entering a quota share contract (within the meaning of section 178 above)];

  • “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 [F9premium] trust fund or an ancillary trust fund; and

(c)any charge made on a member by the [F10managing agent] of a syndicate of which he is a member, and any expense incurred on his behalf by the [F10managing 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.

Textual Amendments

F1S. 184(1): word in the definition of “ancillary trust fund” substituted (1.12.2001) by S.I. 2001/3629, arts. 1(2), 82(e)

F2Words in definition in s. 184(1) repealed (3.5.1994 with effect for the year 1994-95 and subsequent years of assessment) by 1994 c. 9, ss. 228, 258, Sch. 21 para. 8(1)(a), Sch. 26 Pt. V(25) Note 6

F3Words in definition in s. 184(1) substituted (3.5.1994 with effect for the year 1994-95 and subsequent years of assessment) by 1994 c. 9, s. 228, Sch. 21 para. 8(1)(b)

F4Words in s. 184(1) substituted (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 16

F5S. 184(1): definition of “premium trust fund” substituted (1.12.2001) by S.I. 2001/3629, arts. 1(2), 79

F7This sourcebook is part of the FSA Handbook. The FSA Handbook may be purchased on paper and on CD Rom from the Publications Department (Sales), Financial Services Authority, 25 The North Colonnade, Canary Wharf, London E14 5HS and is available on line at www.fsa.gov.uk.

F8S. 184(1): words in definition of “stop-loss insurance” inserted (24.7.2002 with effect as mentioned in s. 86(2) of the amending Act) by 2002 c. 23, s. 86, Sch. 32 para. 5

F9Word in s. 184(2)(b) substituted (1.12.2001) by S.I. 2001/3629, arts. 1(2), 82(e)

F10Words in s. 184(2)(c) substituted (3.5.1994 with effect for the year 1994-95 and subsequent years of assessment) by 1994 c. 9, s. 228, Sch. 21 para. 8(2)

Modifications etc. (not altering text)

C1S. 184 applied (1.5.1995 with application as mentioned in s. 127(19) of the amending Act) by 1995 c. 4, s. 127(16)(b)(19)

Marginal Citations