Finance Act 2001

Meaning of “investment LLP” and “property investment LLP”

1 (1) In Part 19 of the Taxes Act 1988 (supplementary provisions), after section 842A insert—

“842B Meaning of “investment LLP” and “property investment LLP”

(1) In this Act—

(a) an “investment LLP” means a limited liability partnership whose business consists wholly or mainly in the making of investments and the principal part of whose income is derived therefrom; and

(b) a “property investment LLP” means a limited liability partnership whose business consists wholly or mainly in the making of investments in land and the principal part of whose income is derived therefrom.

(2) Whether a limited liability partnership is an investment LLP or a property investment LLP is determined for each period of account of the partnership.

A “period of account” means any period for which accounts of the partnership are drawn up.”.

(2) In section 832(1) of that Act (interpretation of the Tax Acts), at the appropriate place insert—

““investment LLP” and “property investment LLP” have the meaning given by section 842B;”.

(3) In section 288(1) of the Taxation of Chargeable Gains Act 1992 (c. 12) (interpretation), at the appropriate place insert—

““property investment LLP” has the meaning given by section 842B of the Taxes Act;”.