14(1)Section 728 (individuals receiving capital sums as a result of a relevant transaction) is amended as follows.U.K.
(2)After subsection (1) insert—
“(1A)The amount of the income treated as arising under subsection (1) is equal to the amount of the income of the person abroad (subject to subsection (2)).”
(3)In subsection (2) for the words from “it applies” to the end substitute “if—
(a)in subsection (1) of that section—
(i)the reference to section 721 were a reference to this section, and
(ii)the reference to section 721(2) were a reference to subsection (1)(a) of this section, and
(b)subsections (2A) and (2B) of that section were omitted.”
(4)After subsection (2) insert—
“(2A)Subsection (1) does not apply if—
(a)the individual is liable for income tax charged on the income of the person abroad by virtue of a charge not contained in this Chapter, and
(b)all that income tax has been paid.”
(5)Omit subsection (3)(a).