{
  "url": "https://openlegislation.uk/finance-act-2002/schedule-40/part-3",
  "json_url": "https://openlegislation.uk/finance-act-2002/schedule-40/part-3.json",
  "legislation": "ukpga/2002/23",
  "legislation_title": "Finance Act 2002",
  "legislation_url": "https://openlegislation.uk/finance-act-2002",
  "path": "schedule/40/part/3",
  "kind": "part",
  "number": "3",
  "heading": "Income tax, corporation tax and capital gains tax",
  "text": "(1) Deductions from payments to sub-contractors\nThese repeals have effect in accordance with section 40(4) of this Act.\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nIn section 559—\n(a) in subsection (4), the words from “and the sum so deducted\" to the end;\n(b) subsections (5) and (5A);\n(c) subsection (8).\nFinance Act 1998 (c. 36)\nIn Schedule 7, in paragraph 1 the words “559(4)(b) and (5) (twice)\".\nIn Schedule 8, paragraph 2(1).\n(2) Company reconstructions\nThese repeals have effect in accordance with paragraphs 7 and 8 of Schedule 9 to this Act.\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nIn section 842(3)(c), the words “or amalgamation\".\nTaxation of Chargeable Gains Act 1992 (c. 12)\nIn the heading before section 135, the words “and amalgamations\".\nIn section 139(1), in the heading, in subsection (1)(a) and in subsection (5) (twice), the words “or amalgamation\".\nIn section 211(2)—\n(a) in paragraph (a), and\n(b) in the closing words,\nthe words “or amalgamation\".\nIn section 214C(2)(a) and (3), the words “or amalgamation\".\nFinance (No. 2) Act 1992 (c. 48)\nSection 35(1).\n(3) Taper relief\nThese repeals have effect in accordance with paragraphs 2, 4 and 7 of Schedule 10 to this Act.\nShort title and chapter\nExtent of repeal\nTaxation of Chargeable Gains Act 1992 (c. 12)\nIn section 2A(8)(b)(ii), the words “11 or\".\nIn Schedule A1—\n(a) paragraph 11;\n(b) in paragraph 22(1), in the definition of “51 per cent subsidiary\", the words “(except in paragraph 11 above)\";\n(c) in paragraph 23, the final sentence of sub-paragraph (4), sub-paragraph (5), in sub-paragraph (7) the words “, (5)(b)\" and sub-paragraphs (9) and (10);\n(d) paragraph 24(6).\n(4) Gains treated as accruing to settlors\nThese repeals have effect in accordance with paragraphs 7 and 8 of Schedule 11 to this Act.\nShort title and chapter\nExtent of repeal\nTaxation of Chargeable Gains Act 1992 (c. 12)\nIn section 2(5)(b), the words “77, 86,\".\nSection 77(6A).\nSection 86(4A).\nIn section 86A(8), the words “or aggregate amount\".\nFinance Act 1998 (c. 36)\nIn Schedule 21, paragraph 6(1) and (2).\n(5) Tax relief for research and development expenditure\nThese repeals have effect for accounting periods ending on or after 1st April 2002.\nShort title and chapter\nExtent of repeal\nFinance Act 2000 (c. 17)\nIn Schedule 20—\n(a) in paragraph 5(1)(c), the words “(within the meaning of section 231A(4) of the Taxes Act 1988)\";\n(b) in paragraph 12, the word “and\" at the end of paragraph (a).\n(6) Community investment tax credit\nThis repeal has effect in accordance with section 57(3) and (4)(b) of this Act.\nShort title and chapter\nExtent of repeal\nFinance Act 1990 (c. 29)\nIn section 25(7), the word “and\" at the end of paragraph (b).\n(7) Cars with low carbon dioxide emissions\nShort title and chapter\nExtent of repeal\nCapital Allowances Act 2001 (c. 2)\nIn section 39, the word “or\" preceding the words “section 45A\".\nIn section 46(1), the word “or\" preceding the words “section 45A\".\nIn section 74(2), the word “and\" preceding paragraph (b).\nThese repeals have effect in accordance with section 59 of this Act.\n(8) Computation of profits\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nIn section 473(2), the words, “, if the securities were not such as are mentioned in subsection (1)(b) above\".\nFinance Act 1998 (c. 36)\nSection 44.\nSchedule 6.\nCapital Allowances Act 2001\nIn Schedule 2, paragraph 102.\nThe repeal in section 473(2) of the Taxes Act 1988 has effect in accordance with section 67(4)(a) of this Act.\nThe other repeals have effect in accordance with section 64(6) of and paragraphs 16 and 17 of Schedule 22 to this Act.\n(9) Asset-linked loan relationships\nShort title and chapter\nExtent of repeal\nFinance Act 1996 (c. 8)\nIn section 92, in subsection (1)(e), the word “and\".\nSection 93(11) and (13).\nThe repeal in section 92 of the Finance Act 1996 (c. 8) has effect in accordance with section 72 of this Act.\nThe repeals in section 93 of that Act have effect in accordance with section 75 of this Act.\n(10) Forex and exchange gains and losses from loan relationships etc\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nIn section 15(1), the second indent of paragraph 2(3) of Schedule A.\nSection 56(3A) to (3D).\nIn Schedule 24, paragraphs 13 to 19.\nIn Schedule 27, paragraph 5(2A) so far as relating to sections 125 to 133 of the Finance Act 1993.\nTaxation of Chargeable Gains Act 1992 (c. 12)\nIn section 117(A1), the words “(subject to sections 117A and 117B below)\".\nSections 117A and 117B.\nFinance Act 1993 (c. 34)\nSection 60.\nSections 125 to 169.\nSchedules 15 to 17.\nIn Schedule 18, paragraph 2.\nFinance Act 1994 (c. 9)\nSections 114 to 116.\nSection 226(2).\nFinance Act 1995 (c. 4)\nSection 52(2).\nSection 131.\nIn Schedule 24, paragraphs 1 to 3.\nIn Schedule 25, paragraphs 6(5) and 7.\nFinance Act 1996 (c. 8)\nIn section 85(2), the word “and\" at the end of paragraph (b).\nIn section 92(6)(b), the words “127 or\".\nIn Schedule 9—\n(a) paragraphs 4 and 11(4);\n(b) in paragraph 13(6), the definition of “related transaction\";\n(c) in paragraph 15(1), the words “for the purposes of section 84 of this Act\".\nIn Schedule 11, in paragraph 3A(1)(b), the words “debt or\".\nIn Schedule 14, paragraphs 67 to 74.\nIn Schedule 15, paragraphs 22 to 24.\nIn Schedule 20, paragraphs 68 to 70.\nFinance Act 1998 (c. 36)\nSection 108(3) and (4)(a).\nIn section 109—\n(a) subsections (1) and (2);\n(b) subsection (4) so far as relating to those subsections;\n(c) subsection (5) so far as relating to the enactments specified in paragraph (a) of it.\nSection 110(4)(b).\nSchedule 4, paragraph 7.\nFinance Act 2000 (c. 17)\nSection 106.\nIn Schedule 22, paragraph 50(2)(b).\nIn Schedule 29, paragraphs 20, 21 and 41 to 43.\nThe repeal in Schedule 27 to the Taxes Act 1988 has effect for account periods beginning on or after 1st October 2002.\nThe other repeals have effect in accordance with section 79(3) of this Act and Schedule 23 to this Act.\n(11) Corporation tax: currency\nThese repeals have effect in accordance with section 80 of this Act and Schedule 24 to this Act.\nShort title and chapter\nExtent of repeal\nFinance Act 1993 (c. 34)\nIn section 93, subsections (3) and (6) and, in subsection (7), the definitions of “branch\" and “the closing rate/net investment method\".\nFinance Act 1994 (c. 9)\nSection 226(1).\nFinance Act 1998 (c. 36)\nSection 163(3)(b) and (c).\n(12) Loan relationships: general amendments\nThese repeals have effect in accordance with section 82(2) of this Act.\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nIn section 77(2)(a), sub-paragraph (ii) and the preceding word “or\".\nSection 403ZC(2).\nIn section 432A(9B), the definition of “money debt\".\nIn section 797A, the second sentence in subsection (5) and in subsection (7).\nIn Schedule 28A—\n(a) in paragraph 7, in sub-paragraph (1)(d), the word “and\" preceding sub-paragraph (iii), in sub-paragraph (1)(e), the word “and\" preceding sub-paragraph (iii), and sub-paragraph (2);\n(b) in paragraph 16, in sub-paragraph (1)(d), the word “and\" preceding sub-paragraph (iii), in sub-paragraph (1)(e), the word “and\" preceding sub-paragraph (iii), and sub-paragraph (2).\nFinance Act 1988 (c. 39)\nIn Schedule 6, in paragraph 3—\n(a) sub-paragraphs (3)(a), (4)(a) and (5)(a) and (b);\n(b) in sub-paragraph (5), in the words following paragraph (c), the word “group\";\n(c) sub-paragraph (6).\nFinance Act 1996 (c. 8)\nIn section 83—\n(a) in subsection (2), paragraphs (b) and (d) and the word “or\" at the end of paragraph (c);\n(b) subsection (4);\n(c) in subsection (7), in paragraph (a), the word “(b)\", and paragraph (b) and the preceding word “and\".\nIn section 87—\n(a) in subsection (3), in paragraph (a) the words “or in the two years before the beginning of that period\", in paragraph (b) the words “or in those two years\", and paragraph (c) and the preceding word “or\";\n(b) subsections (6) to (8).\nSection 89.\nSection 91.\nIn Schedule 8, paragraph 2.\nIn Schedule 9, in paragraph 17—\n(a) in sub-paragraph (5), in paragraph (a) the words “or in the period of two years before the beginning of that period\" and in paragraph (b) the words “or in those two years\";\n(b) sub-paragraphs (6) and (7).\nIn Schedule 9, in paragraph 18—\n(a) in sub-paragraph (1), the word “and\" immediately preceding paragraph (b);\n(b) in sub-paragraph (4), the definition of “control\".\nFinance Act 1998 (c. 36)\nSection 82(1) and (2)(c) and (e).\n(13) Derivative contracts\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nSection 468AA.\nIn section 807A(7), the definition of “relevant qualifying payment\".\nIn Schedule 5AA—\n(a) in paragraph 1, sub-paragraphs (2)(b) and (c) and (3), in sub-paragraph (5), the words “and 396\", in sub-paragraph (6), the words “, corporation tax\" and “or 396\", and sub-paragraph (7);\n(b) paragraph 2(3);\n(c) paragraph 4(4A);\n(d) in paragraph 4A, in sub-paragraph (5)(b), the words “or 396\", and sub-paragraph (10A);\n(e) paragraph 6(3A);\n(f) paragraph 9.\nIn Schedule 27, paragraph 5(2A) so far as relating to sections 159 and 160 of, and paragraph 1 of Schedule 18 to, the Finance Act 1994.\nFinance Act 1990 (c. 29)\nSection 81(1).\nFinance Act 1994 (c. 9)\nSections 147 to 175.\nSection 177.\nSchedule 18.\nFinance Act 1995 (c. 4)\nSection 52(3).\nSection 132.\nFinance Act 1996 (c. 8)\nSection 93A(3)(a) and (7).\nSection 101(2) to (6).\nSchedule 12.\nIn Schedule 14, paragraphs 75 to 79.\nIn Schedule 15, paragraph 25.\nIn Schedule 20, paragraph 71.\nFinance Act 1998 (c. 36)\nSection 99(2) and (3).\nIn section 109—\n(a) subsection (3);\n(b) subsection (4) so far as relating to subsection (3);\n(c) subsection (5) so far as relating to the enactments specified in paragraph (b) of it.\nFinance Act 2000 (c. 17)\nIn Schedule 30, paragraph 24(3).\nFinance Act 2002 (c. 23)\nSections 69 and 70.\nSection 78.\nThe repeal in Schedule 27 to the Taxes Act 1988 has effect for account periods beginning on or after 1st October 2002.\nThe other repeals have effect in accordance with section 83(3) of this Act.\n(14) Deduction of tax: payments to exempt bodies etc\nThis repeal has effect in accordance with section 94(7) of this Act.\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nSection 349B(1)(b) and the word “or\" preceding it.\n(15) Gifts of real property to charity\nThis repeal has effect in accordance with section 97 of this Act.\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988\nIn section 587B(9), the word “and\" preceding paragraph (d).\n(16) References to accounting practice and periods of account\nShort title and chapter\nExtent of repeal\nTaxes Management Act 1970 (c. 9)\nIn section 12AB(5), the definition of “period of account\".\nIncome and Corporation Taxes Act 1988 (c. 1)\nSection 43A(2).\nSection 91A(8).\nSection 91B(11)(e) and the word “and\" preceding it.\nIn section 297(5B), the second sentence.\nSection 494AA(2)(b) and the word “or\" preceding it.\nIn section 560(2), the words from “and in paragraph (f)\" to the end.\nIn section 834(1), in the definition of “accounting date\", the words from “and “period of account\"\" to the end.\nSection 837A(5).\nIn section 842B(2), the second sentence.\nIn Schedule 5, in paragraphs 2(6) and 6(4), the definitions of “period of account\".\nIn Schedule 28B, in paragraph 4(6B), the second sentence.\nFinance Act 1988 (c. 39)\nIn section 86(3), the definition of “period of account\".\nFinance Act 1989 (c. 26)\nIn section 43(9), the definition of “period of account\".\nTaxation of Chargeable Gains Act 1992 (c. 12)\nIn section 161(3A), the words from “and in paragraph (a)\" to the end.\nIn section 13(5B), the second sentence.\nFinance Act 1997 (c. 16)\nIn Schedule 12—\n(a) in paragraph 1(1)(c), the words “, in the case of companies incorporated in any part of the United Kingdom,\" and “for the purposes of the accounts of such companies\";\n(b) in paragraph 4(5), the words “, if the recipient were a company incorporated in the United Kingdom,\";\n(c) in paragraph 15(1)(c), the words “, in the case of companies incorporated in any part of the United Kingdom,\" and “for the purposes of the accounts of such companies\";\n(d) paragraph 28(1) to (4).\nFinance Act 1998 (c. 36)\nSection 45.\nIn Schedule 18, in paragraph 14(2), the second sentence.\nFinance Act 1999 (c. 16)\nIn Schedule 6, paragraph 3(5).\nFinance Act 2000 (c. 17)\nIn Schedule 14, in paragraph 22(4), the second sentence.\nIn Schedule 15, in paragraph 29(4), the second sentence.\nIn Schedule 20, in paragraph 25(1), the definition of “normal accounting practice\".\nIn Schedule 23, in paragraph 5, the definitions of “normal accounting practice\" and “statutory accounts\".\nCapital Allowances Act 2001 (c. 2)\nSection 179(2).\nSection 219(2).\n(17) Financial trading stock\nShort title and chapter\nExtent of repeal\nIncome and Corporation Taxes Act 1988 (c. 1)\nSection 100(1B)(a).\nFinance Act 1988 (c. 39)\nIn Schedule 12, paragraph 2.\n(18) Banks etc in compulsory liquidation\nThese repeals have effect in accordance with section 107 of this Act.\nShort title and chapter\nExtent of repeal\nFinance (No. 2) Act 1992 (c. 48)\nIn Schedule 12, paragraphs 3(3)(c) and 4(3).\nFinance Act 1998 (c. 36)\nIn Schedule 7, in paragraph 8, the words “3(3)(c) and\".",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2002/23/schedule/40/part/3",
    "retrieved_at": "2026-10-29T09:19:27.148984+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}