SCHEDULES

C3C2C1F3SCHEDULE 4CTransfers of value: attribution of gains to beneficiaries

Annotations:
Amendments (Textual)
F3

Sch. 4C inserted (with effect in accordance with s. 92(5) of the amending Act) by Finance Act 2000 (c. 17), s. 92(4), Sch. 26 Pt. I

Modifications etc. (not altering text)
C3

Sch. 4C modified (21.7.2008) by Finance Act 2008 (c. 9), Sch. 7 paras. 152-155

C2

Sch. 4C applied (with modifications) by Income and Corporation Taxes Act 1988 (c. 1), s. 762(3) (as substituted (with effect in accordance with Sch. 7 para. 98 of the amending Act) by Finance Act 2008 (c. 9), Sch. 7 para. 93(3))

C1

Sch. 4C applied (with modifications) (with effect in accordance with art. 1(2)(3), Sch. 1 of the affecting S.I.) by The Offshore Funds (Tax) Regulations 2009 (S.I. 2009/3001), regs. 1(1), 20(3)

Chargeable amount: dual resident settlement

5

1

If the transfer of value is made in a year of assessment where—

a

the trustees of the transferor settlement are F1resident F6... in the United Kingdom during any part of the year, and

b

at any time of F4such residence F2... they fall to be regarded for the purposes of any double taxation relief arrangements as resident in a territory outside the United Kingdom,

the chargeable amount is computed under this paragraph.

2

Where this paragraph applies the chargeable amount is the lesser of—

a

the amount on which the trustees would be chargeable to tax under section 2(2) by virtue of Schedule 4B on the assumption that the double taxation relief arrangements did not apply F5(and the disposals which Schedule 4B treats them as having made were made), and

b

the amount on which the trustees would be so chargeable to tax by virtue of disposals of protected assets.

3

For this purpose “protected assets” has the meaning given by section 88(4).