OpenLegislation

Finance Act 2010

2010 c. 13 · Enacted 8 April 2010 · Extends to United Kingdom

Up to date with all changes known to legislation.gov.uk, revised to 1 April 2026.

An Act to grant certain duties, to alter other duties, and to amend the law relating to the National Debt and the Public Revenue, and to make further provision in connection with finance.[8th April 2010]

Most Gracious Sovereign

WE, Your Majesty's most dutiful and loyal subjects, the Commons of the United Kingdom in Parliament assembled, towards raising the necessary supplies to defray Your Majesty's public expenses, and making an addition to the public revenue, have freely and voluntarily resolved to give and to grant unto Your Majesty the several duties hereinafter mentioned; and do therefore most humbly beseech Your Majesty that it may be enacted, and be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—

Contents

  1. Part 1: Charges, rates etc
  2. Income tax
  3. 1Charge, main rates, thresholds and allowances etc for 2010-11
  4. Corporation tax
  5. 2Charge and main rate for financial year 2011
  6. 3Small profits rates and fractions for financial year 2010
  7. Capital gains tax
  8. 4Increase in entrepreneurs' relief
  9. Capital allowances
  10. 5Annual investment allowance
  11. Stamp duty land tax
  12. 6Relief for first-time buyers Repealed
  13. 7Rate in respect of residential property where consideration over £1m
  14. Inheritance tax
  15. 8Rate bands
  16. Alcohol and tobacco
  17. 9Rates of alcoholic liquor duties
  18. 10Rates of tobacco products duty
  19. Vehicle excise duty
  20. 11Rates for motorcycles
  21. Fuel duties
  22. 12Fuel duties: rates and rebates from April 2010
  23. 13Fuel duties: further changes in rates and rebates
  24. Other environmental taxes
  25. 14Rates of air passenger duty
  26. 15Standard rate of landfill tax
  27. 16Rate of aggregates levy Repealed
  28. 17Rates of climate change levy
  29. 18Climate change levy: reduced-rate supplies
  30. Gambling
  31. 19Rate of bingo duty Repealed
  32. 20Rates of gaming duty
  33. 21Amusement machine licence duty
  34. New taxes
  35. 22Bank payroll tax
  36. 23Pensions: high income excess relief charge Repealed
  37. Part 2: Anti-avoidance and revenue protection
  38. Losses, capital allowances etc
  39. 24Sideways relief etc
  40. 25Property loss relief
  41. 26Capital allowance buying
  42. 27Leased assets
  43. 28Cushion gas
  44. 29Sale of lessors: consortium relationships
  45. Charities etc
  46. 30Charities and community amateur sports clubs: definitions
  47. 31Gifts of shares etc to charities
  48. 32Miscellaneous amendments
  49. Remittance basis
  50. 33“Relevant person”
  51. 34Foreign currency bank accounts
  52. Other international matters
  53. 35Penalties: offshore income etc
  54. 36Reliefs and reductions for foreign tax
  55. 37Asset transfer to non-resident company: recovery of postponed charge
  56. Securities etc
  57. 38Transactions in securities
  58. 39Approved CSOP schemes: eligible shares
  59. 40Unauthorised unit trusts Repealed
  60. 41Index-linked gilt-edged securities
  61. 42Approved share incentive plans
  62. Loan relationships and derivative contracts
  63. 43Close companies: release of loans to participators etc
  64. 44Connected companies: releases of debts
  65. 45Relationships treated as loan relationships etc: repos
  66. 46Risk transfer schemes
  67. Insurance companies
  68. 47Apportionment of asset value increases Repealed
  69. Pensions
  70. 48Extension of special annual allowance charge
  71. 49Information
  72. Value added tax and insurance premium tax
  73. 50Extension of reverse charge provisions to supplies of services
  74. 51Insurance premium tax: separate contracts
  75. Inheritance tax
  76. 52Reversionary interests of purchaser or settlor etc in relevant property
  77. 53Interests in possession
  78. Stamp taxes
  79. 54SDRT: depositary receipt systems and clearance services systems
  80. 55SDLT: partnerships
  81. Administration
  82. 56Disclosure of tax avoidance schemes
  83. 57Opening of postal packets
  84. Part 3: Other provisions
  85. Income tax: benefits in kind
  86. 58Zero and low emission vehicles
  87. 59Cars with CO2 emissions figure
  88. 60Subsidised meals for employees: salary sacrifice etc
  89. Corporation tax
  90. 61Sale of lessors: election out of charge
  91. 62Accounting standards: loan relationships and derivative contracts
  92. Miscellaneous
  93. 63Champions League final
  94. 64FSCS intervention in relation to insurance contracts
  95. 65Stamp duty and SDRT: clearing houses
  96. 66Alcoholic liquor duties: power to amend definition of “cider”
  97. 67Climate change levy: compatible state aid
  98. 68Pensions: minor corrections
  99. Final provisions
  100. 69Interpretation
  101. 70Short title
  102. Schedule 1: Bank payroll tax
  103. Part 1: The tax
  104. The tax
  105. 1Paragraph 1
  106. Rate
  107. 2Paragraph 2
  108. “Taxable company”
  109. 3Paragraph 3
  110. “Relevant remuneration”
  111. 4Paragraph 4
  112. “Excluded remuneration”
  113. 5Paragraph 5
  114. “Awarded”
  115. 6Paragraph 6
  116. “Amount” of remuneration
  117. 7Paragraph 7
  118. “The chargeable period”
  119. 8Paragraph 8
  120. “Relevant banking employee”
  121. 9Paragraph 9
  122. Multiple employments
  123. 10Paragraph 10
  124. Payments etc to intermediaries
  125. 11Paragraph 11
  126. Arrangements for future payments etc
  127. 12Paragraph 12
  128. Loans
  129. 13Paragraph 13
  130. Anti-avoidance
  131. 14Paragraph 14
  132. No deduction in computing profits
  133. 15Paragraph 15
  134. Part 2: Collection and management of tax
  135. Responsibility for collection and management
  136. 16Paragraph 16
  137. Due date for payment
  138. 17Paragraph 17
  139. Obligation to deliver return
  140. 18Paragraph 18
  141. Content etc of return
  142. 19Paragraph 19
  143. Failure to include self-assessment
  144. 20Paragraph 20
  145. Amendment of return by company
  146. 21Paragraph 21
  147. Correction of return by HMRC
  148. 22Paragraph 22
  149. Enquiry into return
  150. 23Paragraph 23
  151. Determination by HMRC
  152. 24Paragraph 24
  153. Discovery assessment by HMRC
  154. 25Paragraph 25
  155. 26Paragraph 26
  156. 27Paragraph 27
  157. 28Paragraph 28
  158. Collection and recovery
  159. 29Paragraph 29
  160. Interest on late payments and repayments
  161. 30Paragraph 30
  162. Overpaid tax etc
  163. 31Paragraph 31
  164. Appeals and other proceedings
  165. 32Paragraph 32
  166. 33Paragraph 33
  167. Obligation to preserve records
  168. 34Paragraph 34
  169. 35Paragraph 35
  170. Information powers
  171. 36Paragraph 36
  172. Penalties
  173. 37Paragraph 37
  174. 38Paragraph 38
  175. 39Paragraph 39
  176. Miscellaneous
  177. 40Paragraph 40
  178. 41Paragraph 41
  179. 42Paragraph 42
  180. Part 3: Definitions
  181. “UK resident bank” and “relevant foreign bank”
  182. 43Paragraph 43
  183. “Relevant regulated activity”, “capital resources condition”, “excluded company”, “asset management activities”, “linked entity” etc
  184. 44Paragraph 44
  185. “Member of a banking group”
  186. 45Paragraph 45
  187. “The trading income of the group” for the relevant period
  188. 46Paragraph 46
  189. “Investment company” etc
  190. 47Paragraph 47
  191. “Financial trading company” etc
  192. 48Paragraph 48
  193. Other interpretative provisions
  194. 49Paragraph 49
  195. Schedule 2
  196. 1Paragraph 1 Repealed
  197. 2Paragraph 2 Repealed
  198. 3Paragraph 3 Repealed
  199. 4Paragraph 4 Repealed
  200. 5Paragraph 5 Repealed
  201. Schedule 3: Sideways relief etc
  202. Amendments of Chapter 2 of Part 4 of ITA 2007
  203. 1Paragraph 1
  204. 2Paragraph 2
  205. 3Paragraph 3
  206. 4Paragraph 4
  207. 5Paragraph 5
  208. 6Paragraph 6
  209. 7Paragraph 7
  210. 8Paragraph 8
  211. 9Paragraph 9
  212. Other amendments
  213. 10Paragraph 10
  214. Commencement
  215. 11Paragraph 11
  216. Schedule 4: Capital allowance buying
  217. 1Paragraph 1
  218. 2Paragraph 2
  219. 3Paragraph 3
  220. 4Paragraph 4
  221. 5Paragraph 5
  222. 6Paragraph 6
  223. Schedule 5: Leased assets
  224. Restriction of qualifying expenditure
  225. 1Paragraph 1
  226. Restriction of deduction for rental rebate
  227. 2Paragraph 2
  228. Arrangements reducing disposal value of asset
  229. 3Paragraph 3
  230. Schedule 6: Charities and community amateur sports clubs: definitions
  231. Part 1: Definition of “charity”, “charitable company” and “charitable trust”
  232. Definition of “charity” etc
  233. 1Paragraph 1
  234. Jurisdiction condition
  235. 2Paragraph 2
  236. Registration condition
  237. 3Paragraph 3
  238. Management condition
  239. 4Paragraph 4
  240. Periods over which management condition treated as met
  241. 5Paragraph 5
  242. Publication of names and addresses of bodies or trusts regarded by HMRC as charities
  243. 6Paragraph 6
  244. Enactments to which this Part applies
  245. 7Paragraph 7
  246. Part 2: Repeals of superseded definitions and other consequential amendments
  247. FA 1982
  248. 8Paragraph 8
  249. FA 1983
  250. 9Paragraph 9
  251. IHTA 1984
  252. 10Paragraph 10
  253. FA 1986
  254. 11Paragraph 11
  255. FA 1989
  256. 12Paragraph 12
  257. TCGA 1992
  258. 13Paragraph 13
  259. F(No.2)A 1997
  260. 14Paragraph 14 Repealed
  261. FA 1999
  262. 15Paragraph 15
  263. CAA 2001
  264. 16Paragraph 16
  265. ITEPA 2003
  266. 17Paragraph 17
  267. FA 2003
  268. 18Paragraph 18
  269. 19Paragraph 19
  270. 20Paragraph 20
  271. ITTOIA 2005
  272. 21Paragraph 21
  273. F(No.2)A 2005
  274. 22Paragraph 22
  275. ITA 2007
  276. 23Paragraph 23
  277. FA 2008
  278. 24Paragraph 24
  279. CTA 2009
  280. 25Paragraph 25
  281. FA 2009
  282. 26Paragraph 26
  283. CTA 2010
  284. 27Paragraph 27
  285. TIOPA 2010
  286. 28Paragraph 28
  287. Power to make further consequential provision
  288. 29Paragraph 29
  289. Part 3: Meaning of “community amateur sports club”
  290. 30Paragraph 30
  291. 31Paragraph 31 Repealed
  292. 32Paragraph 32
  293. Part 4: Commencement
  294. Commencement of Part 1
  295. 33Paragraph 33
  296. Commencement of Part 2
  297. 34Paragraph 34
  298. Commencement of Part 3
  299. 35Paragraph 35
  300. Schedule 7: Gifts of shares etc to charities
  301. Gifts by individuals
  302. 1Paragraph 1
  303. 2Paragraph 2
  304. 3Paragraph 3
  305. 4Paragraph 4
  306. Gifts by companies
  307. 5Paragraph 5
  308. 6Paragraph 6
  309. 7Paragraph 7
  310. 8Paragraph 8
  311. Commencement and corresponding ICTA amendments
  312. 9Paragraph 9
  313. 10Paragraph 10
  314. Schedule 8: Charities: miscellaneous amendments
  315. Payroll giving
  316. 1Paragraph 1
  317. Payments to bodies outside the UK: non-charitable expenditure
  318. 2Paragraph 2
  319. Gift aid: disqualified overseas gifts
  320. 3Paragraph 3
  321. Gift aid administration: charitable trusts
  322. 4Paragraph 4
  323. 5Paragraph 5
  324. Gift aid administration: charitable companies
  325. 6Paragraph 6 Repealed
  326. 7Paragraph 7
  327. Commencement
  328. 8Paragraph 8
  329. Schedule 9: Foreign currency bank accounts
  330. 1Paragraph 1
  331. 2Paragraph 2
  332. 3Paragraph 3
  333. Schedule 10: Penalties: offshore income etc
  334. Schedule 24 to FA 2007
  335. 1Paragraph 1
  336. 2Paragraph 2
  337. 3Paragraph 3
  338. 4Paragraph 4
  339. 5Paragraph 5
  340. 6Paragraph 6
  341. Schedule 41 to FA 2008
  342. 7Paragraph 7
  343. 8Paragraph 8
  344. 9Paragraph 9
  345. Schedule 55 to FA 2009
  346. 10Paragraph 10
  347. 11Paragraph 11
  348. 12Paragraph 12
  349. 13Paragraph 13
  350. 14Paragraph 14
  351. Schedule 11: Reliefs and reductions for foreign tax
  352. Effect of foreign tax becoming payable
  353. 1Paragraph 1
  354. 2Paragraph 2
  355. 3Paragraph 3
  356. Schemes about deemed foreign tax
  357. 4Paragraph 4
  358. Foreign tax payable by other participants
  359. 5Paragraph 5
  360. Claims etc made before scheme or arrangement made
  361. 6Paragraph 6
  362. Limit on reduction for foreign tax
  363. 7Paragraph 7
  364. Schedule 12: Transactions in securities
  365. Income tax
  366. 1Paragraph 1
  367. 2Paragraph 2
  368. 3Paragraph 3
  369. 4Paragraph 4
  370. 5Paragraph 5
  371. 6Paragraph 6
  372. 7Paragraph 7
  373. Corporation tax
  374. 8Paragraph 8
  375. 9Paragraph 9
  376. 10Paragraph 10
  377. Consequential amendments
  378. 11Paragraph 11
  379. 12Paragraph 12
  380. 13Paragraph 13
  381. 14Paragraph 14
  382. Commencement
  383. 15Paragraph 15
  384. Schedule 13: Unauthorised unit trusts Repealed
  385. Amendments of Chapter 13 of Part 15 of ITA 2007 Repealed
  386. 1Paragraph 1 Repealed
  387. Consequential amendments Repealed
  388. 2Paragraph 2 Repealed
  389. Commencement Repealed
  390. 3Paragraph 3 Repealed
  391. Transitional provision: opening value of trustees' double tax relief pool Repealed
  392. 4Paragraph 4 Repealed
  393. Schedule 14: Index-linked gilt-edged securities
  394. Amendments of Chapter 12 of Part 5 of CTA 2009
  395. 1Paragraph 1
  396. 2Paragraph 2
  397. 3Paragraph 3
  398. 4Paragraph 4
  399. 5Paragraph 5
  400. 6Paragraph 6
  401. Consequential amendment
  402. 7Paragraph 7
  403. Commencement
  404. 8Paragraph 8
  405. Transitional provision
  406. 9Paragraph 9
  407. Schedule 15: Connected companies: releases of debts
  408. Amendments of section 322 of CTA 2009
  409. 1Paragraph 1
  410. Amendments of Chapter 6 of Part 5 of CTA 2009
  411. 2Paragraph 2
  412. Commencement
  413. 3Paragraph 3
  414. Transitional provision
  415. 4Paragraph 4
  416. Schedule 16: Risk transfer schemes
  417. Amendments
  418. 1Paragraph 1
  419. 2Paragraph 2
  420. 3Paragraph 3
  421. 4Paragraph 4
  422. Commencement and transitional provision
  423. 5Paragraph 5
  424. Schedule 17: Disclosure of tax avoidance schemes
  425. Introduction
  426. 1Paragraph 1
  427. Initial marketing
  428. 2Paragraph 2
  429. 3Paragraph 3
  430. 4Paragraph 4
  431. 5Paragraph 5
  432. Promoters to provide client lists
  433. 6Paragraph 6
  434. 7Paragraph 7
  435. 8Paragraph 8
  436. Information provided to introducers
  437. 9Paragraph 9
  438. Penalties
  439. 10Paragraph 10
  440. Commencement
  441. 11Paragraph 11
  442. Schedule 18: Sale of lessors: election out of charge
  443. Main changes
  444. 1Paragraph 1
  445. 2Paragraph 2
  446. 3Paragraph 3
  447. 4Paragraph 4
  448. 5Paragraph 5
  449. 6Paragraph 6
  450. Interpretation
  451. 7Paragraph 7
  452. 8Paragraph 8
  453. Commencement etc
  454. 9Paragraph 9
  455. 10Paragraph 10
  456. 11Paragraph 11
  457. 12Paragraph 12
  458. 13Paragraph 13
  459. Schedule 19: Accounting standards: loan relationships and derivative contracts
  460. Loan relationships
  461. 1Paragraph 1
  462. Derivative contracts
  463. 2Paragraph 2
  464. Affirmative resolution procedure
  465. 3Paragraph 3
  466. Schedule 20: Champions League final
  467. Exemption from income tax
  468. 1Paragraph 1
  469. Exclusion of certain income
  470. 2Paragraph 2
  471. Tax avoidance
  472. 3Paragraph 3
  473. Disapplication of section 966 of ITA 2007
  474. 4Paragraph 4
  475. Interpretation
  476. 5Paragraph 5
  477. 6Paragraph 6