Finance Act 2008

Attribution of gains to beneficiaries: cases involving transfers of value

145 (1) Paragraph 13 (increase in tax payable under this Schedule) is amended as follows.

(2) For sub-paragraph (1) substitute—

“(1) This paragraph applies if—

(a) chargeable gains are treated under paragraph 8 as accruing to a beneficiary by virtue of the matching (under section 87A) of all or part of a capital payment with the section 2(2) amount for a tax year (“the relevant tax year”), and

(b) the beneficiary is charged to tax by virtue of the matching.

(1A) Where part of a capital payment is matched, references in sub-paragraphs (2) and (3) to the capital payment are to the part matched.”

(3) In sub-paragraph (5)(a), for the words from “year of assessment” to the end (excluding the “and”) substitute “tax year immediately after the relevant tax year,”.