Finance Act 1968
An Act to grant certain duties, to alter other duties, and to amend the law relating to the National Debt and the Public Revenue, and to make further provision in connection with Finance.
Part I
1
(1)(2)
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(3)
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(4)
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2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F3
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F4
4
(1)
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(2)
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(3)
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(4)
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5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F8
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F9
7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F10
8, 9.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F11
10
(1)
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(2)
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Part II
11—22.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F14
23
(1)(2)
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(3)
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(4)(5)
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24—30.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F17
Part III
31. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F18
32. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F19
33. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F20
34. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F21
35—37.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F22
38, 39.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F23
Betterment levy
F2440. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F25Part IV The Special Charge
41 The special charge.
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42 Investment income.
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43 Due date, interest and administration.
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44 Husband and wife.
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45 Close companies.
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46 Relief where income attributable to period of years was received in 1967–68.
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47 Relief where capital is subject to estate duty or capital gains tax.
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48 Relief in respect of error or mistake,
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49 Double taxation relief.
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50 Transactions designed to avoid liability.
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Part V
51
(1)
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(2)
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(3)
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(4)
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52. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F28
Part VI Miscellaneous
53 Interest on overdue tax.
(1)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F29 in section 8(2) of the Finance (No. 2) Act 1947 (remission of interest for tax paid not later than three months from the date on which it becomes due and payable) for the words “three months" there shall be substituted the words “two months".
(2)
Without prejudice to the general interpretative provisions of this Act, this section applies to the enactmemtns mentioned in subsection (1) above as extended by any other enactments, . . . F29
(3)
This section has effect as respects tax becoming due and payable on or after 1st July 1968.
54 Premium savings bonds: increase of prize money.
(1)
The terms of issue of premium savings bonds shall be altered by substituting for the prospectus relating to the issue of bonds of series B the provisions of Schedule 18 to this Act, being provisions which—
(a)
F33(b)
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(2)
Subsection (1) above shall come into force on 1st September 1968 and have effect as respects all bonds issued before that date, whether before or after the passing of this Act.
(3)
If after the coming into force of subsection (1) above the Treasury issue premium savings bonds on the terms set out in the said Schedule to this Act, they may use any stock of forms of bonds which were prepared before the passing of this Act, notwithstanding that the forms refer to the prospectus superseded by subsection (1) above, and bonds issued in that form shall be valid and effectual as if they stated that the bond was issued under the terms in the said Schedule to this Act.
This subsection applies whether or not the bonds are issued after notice has been given, in pursuance of paragraph 15 in the said Schedule, of a variation of its terms.
(4)
In this section “bonds of series B” means the second issue of premium savings bonds, and “” means both those issued under the M1National Loans Act 1939 and those issued under the M2National Loans Act 1968.
F3455. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
56. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F35
57. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F36
58. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F37
59. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F38
60 Provisional collection of taxes.
In section 1(4) of the Provisional Collection of Taxes Act 1968 M3 (circumstances in which a resolution ceases to have statutory effect) paragraph (b) (under which a resolution continues in force if a Bill is amended by the house so as to implement the resolution within twenty-five sitting days from the passing of the resolution) shall have effect as if after the words “is amended by the House" there were added the words “in Committee or on Report, or by any Standing Committee of the House".
61 Citation, interpretation, construction, extent and repeals.
(1)
This Act may be cited as the Finance Act 1968.
(2)
In this Act, except where the context otherwise requires, “the Board” means the Commissioners of Inland Revenue.
(3)
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(4)
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(5)
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(6)
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F43(7)
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(8)
Any reference in this Act to any other enactment shall, except so far as the context otherwise requires, be construed as a reference to that enactment as amended or applied by or under any other enactment, including this Act.
(9)
Except as otherwise expressly provided, such of the provisions of this Act as relate to matters in respect of which the Parliament of Northern Ireland has power to make laws shall not extend to Northern Ireland.
Schedules 1—4. . . . F44
Schedule 5. . . . F45
Schedule 6. . . . F46
Schedule 7. . . . F47
Schedules 8—10. . . . F48
Schedules 11, 12. . . . F49
Schedule 13. . . . F50
Schedule 14. . . . F51
F52Schedule 15. Special Charge: Trusts
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F53Schedule 16. Special Charge: Close Companies
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Schedule 17. . . . F54
SCHEDULE 18 Premium Savings Bonds: New Terms
1
Premium Savings Bonds are a Government Security and are eligible for inclusion in draws for cash prizes. These prizes are free from United Kingdom Income Tax, Surtax and Capital Gains Tax.
2
Premium Saving Bonds, (Series B) (hereinafter called Bonds) will be issued in units of £1 by the Treasury and will be subject to regulations made from time to time by the Treasury under section 12 of the M4National Debt Act 1958, or having effect by virtue of that Act. The principal of the Bonds and the prizes allotted will be a charge on the National Loans Fund with recourse to the Consolidated Fund.
F553
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4
Bonds are not transferable either during the lifetime or on the death of the registered holder. No responsibility can be accepted in respect of their use as security for a loan.
5
There will be a monthly prize fund which will be determined by calculating one month’s interest on each bond eligible for the draws in that month. The rate of interest will be 45/8% per annum or such other rate as may be prescribed under the provisions of paragraph 15 below.
F566
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7
A Bond will be eligible for inclusion in the first draw held after the expiration of the three clear calendar months following the month in which it is purchased, provided that it has not been repaid before the expiration of those three months. After a Bond has qualified for its first draw it will be included in each succeeding draw, unless it has been repaid before the first day of the month in which the draw is held or (subject to the provisions of paragraph 15 below) the registered holder has died before the first day of a period of twelve consecutive calendar months preceding the month in which the draw is held.
8
Each £1 unit Bond will have one chance in each draw for which it is eligible. Each £1 unit Bond may win not more than one prize in each draw for which it is eligible and in draws producing more that one prize will be allotted the highest prize for which it is drawn.
9
Notwithstanding the provisions of paragraph 7 above any Bond purchased in contravention of any regulation limiting the number of unit Bonds which may held by any person shall not be eligible for inclusion in any draw until the holding has been reduced to not more than the maximum number permitted by such regulation.
F5710
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11
The serial numbers of Bonds which are allotted prizes will be published F58... and the registered holders will be notified by post at their last address as recorded at the Bonds and Stock Office.
12
All matters relating to the method and conduct of the draw and allotment of prizes shall be at the sole discretion of the Postmaster General, whose decision as to which Bonds have drawn prizes shall be final.
13
The purchase price of a Bond is repayable in full on application to the Bonds and Stock Office.
F5914
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15
The Treasury reserve the right F60...:—
(a)
to vary the rate of interest specified in paragraph 5 above for determining the amount of the prize fund;
F61(b)
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(c)
to vary the provisions of paragraph 7 above insofar as they relate to the eligibility of a Bond for inclusion in a draw after the death of the registered holder;
(d)
to declare any Bonds purchased on or before a date specified F62... to be ineligible for further draws.
F6316
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