Part IV Income Tax, Corporation Tax and Capital Gains Tax

Chapter I General

Profit sharing schemes

100 Relevant age for purpose of appropriate percentage.

1

Schedule 10 to the Taxes Act 1988 (profit sharing schemes) shall be amended as follows.

2

In paragraph 3 (the appropriate percentage for purposes of tax charge) the words from “In this paragraph” to the end of the paragraph shall be omitted.

3

The following paragraph shall be inserted after paragraph 3—

3A

1

In paragraph 3 above the reference to the relevant age shall be construed as follows.

2

Where the scheme is approved before 25th July 1991 and the event occurs before 30th November 1993, the relevant age is pensionable age.

3

Where—

a

the scheme is approved before 25th July 1991,

b

the event occurs on or after 30th November 1993,

c

the scheme defines the period of retention by reference to the age of 60 for both men and women, and

d

the reference to that age is incorporated in the definition by virtue of an alteration approved by the Board under paragraph 4 of Schedule 9 before the event occurs,

the relevant age is 60.

4

Where—

a

the scheme is approved before 25th July 1991,

b

the event occurs on or after 30th November 1993, and

c

sub-paragraph (3) above does not apply,

the relevant age is pensionable age.

5

Where the scheme is approved on or after 25th July 1991, the relevant age is the specified age.