87(1)Amend section 469 (unauthorised unit trusts) as follows.U.K.
(2)In subsection (2)—
(a)for “Tax Acts” substitute “ Corporation Tax Acts ”, and
(b)omit the words from “and, in the case of income” to the end.
(3)Omit subsections (2A) to (4).
(4)Before subsection (5) insert—
“(4A)For the purposes of the Corporation Tax Acts, the trustees are treated as making an annual payment (under deduction of income tax) to each unit holder if an amount is shown in the scheme's accounts as income available for payment to unit holders or for investment.
(4B)The amount of an annual payment to a unit holder for a distribution period before the deduction of income tax is its gross amount.
(4C)Section 548(2) of ITTOIA 2005 applies for the purpose of calculating the gross amount of an annual payment for a distribution period as it applies for the purpose of calculating the gross amount of income treated as received for a distribution period under Chapter 10 of Part 4 of that Act.
(4D)Section 941 of ITA 2007 deals with the deduction of income tax from the gross amount so calculated.”
(5)In subsection (5) for “payments are”, in both places where it occurs, substitute “ payment is ”.
(6)Omit subsections (5A) to (5D) and (7) to (10).