Income and Corporation Taxes Act 1988 (c. 1)

SCHEDULES

[F1 F2 Schedule 19AB U.K. PENSION BUSINESS: PAYMENTS ON ACCOUNT OF TAX CREDITS AND DEDUCTED TAX]

Textual Amendments

F1 Sch. 19AB inserted (with effect in relation to accounting periods beginning on or after 2.10.1992) by Finance Act 1991 (c. 31, SIF 63:1), s. 49, Sch. 8; S.I. 1992/1746, art. 2

F2 Sch. 19AB repealed (with effect in accordance with s. 87(2)-(5) of the repealing Act) by Finance Act 2001 (c. 9), s. 87(1), Sch. 33 Pt. 2(12), Note (the provisions of Sch. 19AB not applying in relation to tax credits in respect of distributions made on or after 6th April 2004)

Modifications etc. (not altering text)

C1 Sch. 19AB: power to modify conferred (with application as mentioned in s. 121(2) of the affecting Act) by 1993 c. 34, s. 121(1)(2)

C2 Sch. 19AB modified (1.1.1994 with effect in accordance with reg. 1 of the modifying S.I.) by The Friendly Societies (Provisional Repayments for Exempt Business) Regulations 1993 (S.I. 1993/3112), regs. 2-9 (as amended (20.3.1997 with effect in accordance with reg. 1 of the amending S.I.) by The Friendly Societies (Provisional Repayments for Exempt Business) (Amendment) Regulations 1997 (S.I. 1997/474), regs. 2-5); and the 1993 modifying S.I. and the 1997 amending S.I. are revoked (30.3.1999 with effect in accordance with reg. 1(2) of the revoking S.I.) by The Friendly Societies (Provisional Repayments for Exempt Business) Regulations 1999 (S.I. 1999/622), reg. 13

C3 Sch. 19AB modified (2.1.1996) by The Insurance Companies (Gilt-edged Securities) (Periodic Accounting for Tax on Interest) Regulations 1995 (S.I. 1995/3223), regs. 4-10

C4 Sch. 19AB modified (31.7.1997) by Finance (No. 2) Act 1997 (c. 58), Sch. 3 para. 12

C5 Sch. 19AB applied (with modifications) (6.4.1999) by The Individual Savings Account (Insurance Companies) Regulations 1998 (S.I. 1998/1871), regs. 20, 21 (as amended (1.1.2002 with effect in accordance with reg. 1 of the amending S.I.) by The Individual Savings Account (Insurance Companies) (Amendment) Regulations 2001 (S.I. 2001/3974), regs. 2-5, Sch.)

C6 Sch. 19AB applied (with modifications) (30.3.1999 with effect in accordance with reg. 1(2) of the affecting S.I.) by The Friendly Societies (Provisional Repayments for Exempt Business) Regulations 1999 (S.I. 1999/622), regs. 2-12

F3 Entitlement to certain payments on account U.K.

Textual Amendments

F3 Sch. 19AB inserted (25.7.1991 with effect as mentioned in s. 49(3) in relation to accounting periods beginning on or after 2.10.1992) by Finance Act 1991 (c. 31, SIF 63:1), s. 49, Sch. 8; S.I. 1992/1746, art.2

F4 1 (1) An insurance company carrying on pension business shall for each provisional repayment period in an accounting period be entitled on a claim made in that behalf to a payment (in this Schedule referred to as a “provisional repayment”) of an amount equal [F5 , subject to paragraph 2 below,] to the aggregate of—

(a) the appropriate portion of any income tax borne by deduction on any payment received by the company in that provisional repayment period and referable to its pension business, and

(b) the appropriate portion of any tax credit in respect of a distribution received by the company in that provisional repayment period and referable to its pension business,

or of such lesser amount as may be specified in the claim.

(2) For the purposes of this paragraph, a “provisional repayment period” of a company—

(a) shall begin whenever—

(i) the company begins to carry on pension business;

(ii) an accounting period of the company begins, at a time when the company is carrying on such business; or

(iii) a provisional repayment period of the company ends, at a time when the company is carrying on such business; and

(b) shall end on the first occurrence of either of the following—

(i) the expiration of three months from the beginning of the provisional repayment period; or

(ii) the end of an accounting period of the company.

[F6 (3) In the application of subsections (5) to (9) of section 432A for the purpose of determining the amounts to which a company is entitled by way of provisional repayments in the case of any accounting period of the company, the reference in subsection (5) to “the relevant fraction” shall be taken as a reference to the provisional fraction for that accounting period.

(4) For the purposes of this paragraph—

(a) the provisional fraction for an accounting period of a company is the fraction which would, on the basis of the company’s latest [F7 company tax return], be the relevant fraction for the purposes of section 432A(5) for the accounting period to which that return relates; but

(b) if there is no [F7 company tax return] on the basis of which that fraction can be ascertained, the provisional fraction shall be taken to be nil;

but this sub-paragraph is subject to paragraph 2 below.]

(5) In sub-paragraph (1) above “the appropriate portion” means—

(a) in the case of an insurance company carrying on pension business and no other category of long term business, the whole; and

(b) in the case of an insurance company carrying on more than one category of long term business—

(i) where the payment or distribution in question is income arising from an asset [F8 linked] to pension business, the whole; F9 . . .

[F10 (ii) if and to the extent that the payment or distribution in question is income which is not referable to a category of business by virtue of subsection (3) or (4) of section 432A, the provisional fraction; and

(iii) except as provided by sub-paragraph (i) or (ii) above, none.]

[F11 [F12 (6) Paragraphs 57 to 60 of Schedule 18 to the Finance Act 1998 (general provisions as to procedure on claims and elections) do not apply to a claim for a provisional repayment.]

(6A) A claim for a provisional repayment shall be in such form as the Board may determine and the form of claim shall provide for a declaration to the effect that all the particulars given in the form are correctly stated to the best of the knowledge and belief of the person making the claim.]

[F13 (7) A provisional repayment for a provisional repayment period shall be regarded as a payment on account of the amounts (if any) which the company would, apart from this Schedule, be entitled to be F14 . . . repaid in respect of its pension business for the accounting period in which that provisional repayment period falls, in respect of—

(a) income tax borne by deduction on payments received by the company in that accounting period and referable to its pension business, F15 . . .

(b) F16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

on a claim such as is mentioned in [F17 paragraph 9(2) of Schedule 18 to the Finance Act 1998]F18 . . . in respect of that accounting period.]

(8) F19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F20 (9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F21 [F22 (10) In this paragraph—

• “latest company tax return”, in the case of an accounting period of a company (“the current accounting period”), means, subject to sub-paragraph (11) below, the company tax return for the latest preceding accounting period of the company for which such a return has been delivered before the making of the first claim for a provisional repayment for the current accounting period; and

• “self-assessment” means an assessment included in a company tax return, and includes a reference to such an assessment as amended.

(11) In any case where—

(a) there is a company tax return which would, apart from this sub-paragraph, be the latest such return in the case of an accounting period of a company,

(b) the self-assessment required to be included in that return has been amended, and

(c) that amendment was made before the making of the first claim for a provisional repayment for the accounting period mentioned in paragraph (a) above,

the return which is to be regarded as the latest company tax return in the case of that accounting period shall be that return as it stands amended immediately after the making of that amendment of the self-assessment (or, if the self-assessment has been so amended more than once, that return as it stands amended immediately after the making of the last such amendment) but ignoring amendments which do not give rise to any change in the fraction which, on the basis of the return as it has effect from time to time, would be the relevant fraction for the purposes of section 432A(5) for the accounting period to which the return relates.]]

Textual Amendments

F4 Sch. 19AB inserted (25.7.1991 with effect as mentioned in s. 49(3) in relation to accounting periods beginning on or after 2.10.1992) by Finance Act 1991 (c. 31, SIF 63:1), s. 49, Sch. 8; S.I. 1992/1746, art. 2

F5 Words in Sch. 19AB para. 1(1) inserted (with effect in accordance with s. 169(3) of the amending Act) by Finance Act 1996 (c. 8), Sch. 34 para. 1(2)

F6 Sch. 19AB para. 1(3)(4) substituted (with effect in accordance with s. 169(3) of the amending Act) by Finance Act 1996 (c. 8), Sch. 34 para. 1(3)

F7 Words in Sch. 19AB para. 1(4) substituted (with effect in accordance with s. 117(4)(5) of the amending Act) by Finance Act 1998 (c. 36), Sch. 19 para. 51(2); S.I. 1998/3173, art. 2

F8 Word in Sch. 19AB para. 1(5)(b)(i) substituted (with effect in accordance with Sch. 8 para. 57(1) of the amending Act) by Finance Act 1995 (c. 4), Sch. 8 para. 12(1)(b) (with s. 55(2))

F9 Word in Sch. 19AB para. 1(5)(b) repealed (with effect in accordance with s. 169(3) of the repealing Act) by Finance Act 1996 (c. 8), Sch. 41 Pt. 5(27), Note

F10 Sch. 19AB para. 1(5)(b)(ii)(iii) substituted for Sch. 19AB para. 1(5)(b)(ii) (with effect in accordance with s. 169(3) of the amending Act) by Finance Act 1996 (c. 8), Sch. 34 para. 1(4)

F11 Sch. 19AB para. 1(6)(6A) substituted for Sch. 19AB para. 1(6) (with effect in accordance with s. 169(3) of the amending Act) by Finance Act 1996 (c. 8), Sch. 34 para. 1(5)

F12 Sch. 19AB para. 1(6) substituted (with effect in accordance with s. 117(4)(5) of the amending Act) by Finance Act 1998 (c. 36), Sch. 19 para. 51(3); S.I. 1998/3173, art. 2

F13 Sch. 19AB para. 1(7) substituted (with effect in accordance with s. 169(3) of the amending Act) by Finance Act 1996 (c. 8), Sch. 34 para. 1(6)

F14 Words in Sch. 19AB para. 1(7) repealed (with effect in accordance with Sch. 3 paras. 11(1), 12 of the repealing Act) by Finance (No. 2) Act 1997 (c. 58), Sch. 3 para. 11(2)(a), Sch. 8 Pt. 2(7), Note

F15 Sch. 19AB para. 1: word preceding para. 1(7)(b) repealed (with effect in accordance with Sch. 3 paras. 11(1), 12 of the repealing Act) by Finance (No. 2) Act 1997 (c. 58), Sch. 8 Pt. 2(7), Note

F16 Sch. 19AB para. 1(7)(b) repealed (with effect in accordance with Sch. 3 paras. 11(1), 12 of the repealing Act) by Finance (No. 2) Act 1997 (c. 58), Sch. 3 para. 11(2)(b), Sch. 8 Pt. 2(7), Note

F17 Words in Sch. 19AB para. 1(7) substituted (with effect in accordance with s. 117(4)(5) of the amending Act) by Finance Act 1998 (c. 36), Sch. 19 para. 51(4); S.I. 1998/3173, art. 2

F18 Words in Sch. 19AB para. 1(7) repealed (with effect in accordance with Sch. 3 paras. 11(1), 12 of the repealing Act) by Finance (No. 2) Act 1997 (c. 58), Sch. 3 para. 11(2)(c), Sch. 8 Pt. 2(7), Note

F19 Sch. 19AB para. 1(8) repealed (with effect in accordance with s. 169(3) of the repealing Act) by Finance Act 1996 (c. 8), Sch. 34 para. 1(7), Sch. 41 Pt. 5(27), Note

F20 Sch. 19AB para. 1(9) repealed (27.7.1993 with effect as mentioned in s. 103(3)(4) of the amending Act) by 1993 c. 34, s. 103(2)(h)(3)(4), 213, Sch. 23 Pt. III(9)

F21 Sch. 19AB para. 1(10)(11) substituted for Sch. 19AB para. 1(10) (with effect in accordance with s. 169(3) of the amending Act) by Finance Act 1996 (c. 8), Sch. 34 para. 1(8)

F22 Sch. 19AB para. 1(10)(11) substituted (with effect in accordance with s. 117(4)(5) of the amending Act) by Finance Act 1998 (c. 36), Sch. 19 para. 51(5); S.I. 1998/3173, art. 2

Modifications etc. (not altering text)

C7 Sch. 19AB para. 1 amended (otherwise than as it has effect as mentioned in Sch. 3 para. 11(1) of the amending Act, and with effect in accordance with Sch. 3 para. 10(6)(7), Sch. 8 Pt. 2(6) Note of the amending Act) by Finance (No. 2) Act 1997 (c. 58), Sch. 3 para. 10(1)-(5), Sch. 8 Pt. 2(6)