Regulation 2 Interpretation

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

reg.2(1) (defns. of approved agent, approved lender, approved nominee and approved stock borrowmg and lending intermediary) added by Income Tax (Stock Lending) 1995 reg.3(a)
reg.2(1) (defn. of first borrower) added by Income Tax (Stock Lending) 1995 reg.3(b)
reg.2(1) (defn. of gilt- edged securities) replaced by Income Tax (Stock Lending) 1995 reg.3(c)
reg.2(1) (defn. of section 271(9)) amended by Income Tax (Stock Lending) 1995 reg.3(d)
reg.2(1) (defn. of the 1992 Act) added by Income Tax (Stock Lending) 1995 reg.3(e)
reg.2(1) (defn of section 57) added by Income Tax (Stock Lending) 1993 reg.3(a)
reg.2(1) (defn of section 149B(9)) replaced by Income Tax (Stock Lending) 1993 reg.3(b)
reg.2(1) (defns of subsection (1), subsection (2) and subsection (3)) replaced by Income Tax (Stock Lending) 1993 reg.3(c)
reg.2(1) (defns. of gilt- edged securities, other United Kingdom securities and overseas securities) revoked by Income Tax (Stock Lending) 1996 reg.3(a)
reg.2(1) (defn. of United Kingdom equity securities) substituted by Income Tax (Stock Lending) 1996 reg.3(b)
reg.2(2) rev.in pt. by Income Tax (Stock Lending) 1996 reg.4
reg. 2 amended by Income Tax (Stock Lending) 1990
reg.2(1) (defns of Board of Directors, LIFFE, LIFFE (A and M), Member and United Kingdom Equity Securities) added by Income Tax (Stock Lending) 1992 reg.3
reg.2(1) (defn. of other United Kingdom securities) amended by Income Tax (Stock Lending) 1995 reg.3

(1)

In these Regulations, unless the context otherwise requires–

“Board” means the Commissioners of Inland Revenue;
“gilt-edged securities” means–
1. (a)
  
  the securities specified in Part II of Schedule 2 to the Capital Gains Tax Act 1979^f1,
2. (b)
  
  stocks and bonds issued under section 12 of the National Loans Act 1968^f2, and
3. (c)
  
  stocks and bonds guaranteed by the Treasury and issued under the Electricity (Scotland) Acts 1943 to 1954^f3 and the Electricity Acts 1947 and 1957^f4;
“market marker”, in relation to securities of a particular kind or options to buy or sell securities of a particular kind, means a person who–
1. (a)
  holds himself out at all normal times in compliance with the rules of the Stock Exchange as willing–
  1. (i)
    
    to buy and sell securities of that kind, or
  2. (ii)
    
    to grant or take options to buy or sell securities of that kind, or
  3. (iii)
    
    to buy and sell options to buy or sell securities of that kind, at a price specified by him; and
2. (b)
  
  is recognised as doing so by the Council of the Stock Exchange;
“other United Kingdom securities” means shares or stock, other than gilt-edged securities and quoted Eurobonds held in a recognised clearing system within the meaning of section 124 of the Taxes Act 1988^f5, in respect of which the conditions are fulfilled–
1. (a)
  
  that, at the time the arrangement in question is made, the shares or stock have been admitted to the Official List of The Stock Exchange, or to dealings on the Unlisted Securities Market or Third Market of the Stock Exchange; and
2. (b)
  
  that, where the shares or stock are issued by a body of persons not resident in the United Kingdom, part or all of any interest, dividends or other annual payments payable out of or in respect of such shares or stock constitutes relevant foreign dividends for the purposes of section 123 of the Taxes Act 1988^f6;
and includes depositary receipts for such shares or stock;
“overseas securities” means–
1. (a)
  
  stocks, shares and other securities issued by a body of persons not resident in the United Kingdom which are not other United Kingdom securities, and
2. (b)
  
  quoted Eurobonds held in a recognised clearing system within the meaning of section 124 of the Taxes Act 1988;
“the principal section” means section 129 of the Taxes Act 1988;
“section 149B(9)” means section 149B(9) of the Capital Gains Tax Act 1979^f7;
“subsection (1)”, “subsection (2)” and “subsection (3)” mean subsection (1), subsection (2) and subsection (3) of the principal section as the case may be;
“the Taxes Act 1988” means the Income and Corporation Taxes Act 1988.

(2)

For the purposes of paragraph (1) above a depositary receipt for shares or stock is an instrument acknowledging–

(a)

that a person holds such shares or stock or evidence of the right to receive them, and

(b)

that another person is entitled to rights, whether expressed as units or otherwise, in or in relation to shares or stock of the same kind, including the right to receive such shares or stock (or evidence of the right to receive them) from the person mentioned in sub-paragraph (a) above,

except that for those purposes a depositary receipt for shares or stock does not include an instrument acknowledging rights in or in relation to shares or stock if they are issued or sold under terms providing for payment in instalments and for the issue of the instrument as evidence that an instalment has been paid.

Annotations

Footnotes

f1: 1979 c. 14; Schedule 2 was amended by section 67(4) of and Part II of Schedule 9 to the Gas Act 1986 (c. 44).
f2: 1968 c. 13.
f3: 1943 c. 32, 1947 c. 54, 1952 c. 22 and 1954 c. 60.
f4: 1947 c. 54 and 1957 c. 48.
f5: Section 124 was amended by section 76 of the Finance Act 1988 (c. 39).
f6: Section 123 was amended by section 76 of the Finance Act 1988.
f7: Section 149B was inserted by paragraph 26 of Schedule 29 to the Income and Corporation Taxes Act 1988.