Paragraph 13A Amounts derived from designated qualifying overseas capitalF1
This paragraph applies to an amount (“amount A”) if—
either—
the remittance of the amount to the United Kingdom would have the effect mentioned in paragraph 2(3)(a) or (b) by reference to income or gains, or
the remittance of the amount would result in income being treated as arising to a settlement in accordance with section 648(3) (and accordingly would result in an amount falling within paragraph 6(1)(b) arising), and
the remittance of an amount (“amount B”) of designated qualifying overseas capital to the United Kingdom would have one of the effects mentioned in paragraph (a)(i) or (ii) by reference to that same income or those same gains (“the reference income or gains”) if it had not been designated.
Where amount A falls within sub-paragraph (1)(a)(i), so much of amount A (so far as it relates to the reference income or gains) as does not exceed amount B (so far as it relates to the reference income or gains) is to be treated—
as designated qualifying overseas capital, and
as designated on the basis it is qualifying overseas capital as a result of a remittance provision.
Where amount A falls within sub-paragraph (1)(a)(ii), so much of the amount falling within paragraph 6(1)(b) as would result from the remittance of amount A as does not exceed amount B (so far as it relates to the reference income or gains) is to be treated—
as designated qualifying overseas capital, and
as designated on the basis it is qualifying overseas capital as a result of a remittance provision.
Annotations
Textual amendments
- F1
Sch. 10 para. 13A and cross-heading inserted (with effect in accordance with Sch. 3 para. 18(1) of the amending Act) by Finance Act 2026 (c. 11), Sch. 3 paras. 14, 18(1)