The Individual Savings Account (Amendment) Regulations 2008

Amendment of regulation 34 (capital gains tax – adaptation of enactments)

15.—(1) Amend regulation 34(1) as follows.

(2) In paragraph (2)(a), in the notionally added subsection (12)(b)(iii) of section 106A of the Taxation of Chargeable Gains Act 1992(2), for “employee share ownership plan” substitute “SIP”.

(3) In paragraph (2)(a), in the notionally added subsection (13) of section 106A of the Taxation of Chargeable Gains Act 1992, for paragraph (c) and the word “and” immediately preceding it substitute—

“(c) “approved SIP” and “ceased to be subject to the plan” shall be construed in accordance with the SIP code (see section 488(3) of ITEPA 2003); and

(d) “plan shares”, in relation to an approved SIP, shall be construed in accordance with the SIP code (see section 488(3) of ITEPA 2003) except that—

(i) paragraph 87(6) of Schedule 2 to ITEPA 2003 (meaning of the word “shares” in the context of company reconstructions) shall not apply, and

(ii) in paragraph 88(2) of that Schedule (treatment of shares acquired under rights issue) the words “or securities or rights” shall be treated as omitted.”.

(1)

Regulation 34 was relevantly amended by S.I. 2000/2079.

(2)

1992 c. 12; section 106A was inserted by section 124(1) of the Finance Act 1998 (c. 36).