The Group Relief for Overseas Losses (Modification of the Corporation Tax Acts for Non-resident Insurance Companies) Regulations 2006

Modifications of section 431(2) of the Income and Corporation Taxes Act 1988

4.  In section 431(2)(1)—

(a) insert the following definition at the appropriate place—

““IAD accounts” means accounts drawn up in accordance with the Council Directive of 19^th December 1991 on the annual accounts and consolidated accounts of insurance undertakings (No. 91/674/EEC)(2);”;

(b) for the definition of “insurance business transfer scheme” substitute—

““insurance business transfer scheme” means so much of the transfer of the whole or any part of the business of an EEA life insurance company as takes place in accordance with any authorisation granted outside the United Kingdom for the purposes of Article 14 of the Directive of the European Parliament and of the Council of 5^th November 2002 concerning life assurance (No. 2002/83/EC);”;

(c) for the definition of “liabilities” substitute—

““liabilities”, in relation to an EEA life insurance company, means liabilities as determined in accordance with actuarial principles for the purposes of Article 20 of Directive No. 2002/83/EC;”;

(d) omit the definition of “period of account”;

(e) for the definition of “periodical return” substitute—

““periodical return”, in relation to a EEA life insurance company, means its IAD accounts;”; and

(f) for the definition of “value” substitute—

““value”, in relation to assets of an EEA life insurance company, means the value of the assets as determined in accordance with Articles 22 to 26 of Directive No. 2002/83/EC;”.

(1)

Section 431(2) was relevantly amended by paragraph 1 of Schedule 6 to the Finance Act 1990 (c. 29), S.I. 2001/3629 and paragraph 2 of Schedule 9 to the Finance (No. 2) Act 2005 (c. 22).

(2)

O.J. 1991, L374/7.