Income and Corporation Taxes Act 1988

Valid from 27/12/2007

Modification of section 431 (interpretative provisions relating to insurance companies) U.K.

4 (1) Modify section 431(2) (interpretative provisions relating to insurance companies) as follows.

(2) Insert the following definitions in the appropriate places—

• • ““IAD accounts” means accounts drawn up in accordance with the Council Directive of 19th December 1991 on the annual accounts of insurance undertakings (No. 91/674/EEC) M1 ;”,

““IAS accounts” means accounts prepared in accordance with international accounting standards;”.

(3) In the definition of “insurance company” at the end insert “ unless it meets the BLAGAB group reinsurer conditions (within the meaning of paragraph 1 of Schedule 19ABA ”.

(4) For the definition of “liabilities” substitute—

““liabilities” means—

(a)

technical provisions (item C), and

(b)

technical provisions for linked liabilities (item D),

in the liabilities in the balance sheet format in paragraph 9 of Schedule 9A to the Companies Act 1985 in the IAD accounts or equivalent provisions in the IAS accounts;;”;

(5) For the definition of “long-term insurance fund” substitute—

““long-term insurance fund” means—

(a)

the technical account for life assurance business of the company included in the IAD accounts,

(b)

where the technical account included in the IAD accounts for non-life-insurance business of the company is used for all business, such part of that account as relates to the long-term business of the company, or

(c)

such part of the income statement as relates to the life assurance business of the company included in the IAS accounts,

and references to assets of the long-term insurance fund shall be read as references to assets from which any income or gain is or would be included in that technical account or that part of the technical account or that part of the income statement;.”.

(6) For the definition of “periodical return” substitute—

““periodical return” means—

(a)

in relation to a company preparing IAD accounts, the IAD accounts, and

(b)

in relation to a company preparing IAS accounts, the IAS accounts;”;

(7) Omit the definition of “period of account”;

(8) For the definition of “value” substitute—

““value” means the value taken into account for the purposes of IAD accounts or IAS accounts”.

Marginal Citations

M1 O.J. L374, 31.12.1991, p.7.