SCHEDULES

SCHEDULE 13Discounted securities: income tax provisions

General interpretation

15

1

In this Schedule—

  • “deep gain” shall be construed in accordance with paragraph 3(3) above;

  • “excluded indexed security” has the meaning given by paragraph 13 above;

  • “market value” (except in paragraph 14 above) has the same meaning as in the [1992 c. 12.] Taxation of Chargeable Gains Act 1992;

  • “relevant discounted security” has the meaning given by paragraphs 3 and 14(1) above;

  • “strip” means anything which, within the meaning of section 47 of the [1942 c. 21.] Finance Act 1942, is a strip of a gilt-edged security.

2

Where a person, having acquired and transferred any security, subsequently re-acquires it, references in this Schedule to his acquisition of the security shall have effect, in relation to—

a

the transfer by him of that security, or

b

the redemption of the security in a case where he becomes entitled to any amount on its redemption,

as references to his most recent acquisition of the security before the transfer or redemption in question.