{
  "url": "https://openlegislation.uk/income-tax-trading-and-other-income-act-2005/section-395",
  "json_url": "https://openlegislation.uk/income-tax-trading-and-other-income-act-2005/section-395.json",
  "legislation": "ukpga/2005/5",
  "legislation_title": "Income Tax (Trading and Other Income) Act 2005",
  "legislation_url": "https://openlegislation.uk/income-tax-trading-and-other-income-act-2005",
  "path": "section/395",
  "kind": "section",
  "number": "395",
  "heading": "Reduction in tax due in cases within section 394",
  "text": "(1) This section applies if—\n(a) a person is liable to tax as a result of section 394, and\n(b) any tax is paid on any capital receipts under section 501 of ITEPA 2003 (charge on capital receipts in respect of plan shares) in respect of the shares that cease to be subject to the Schedule 2 share incentive plan.\n(2) The tax due is to be reduced by an amount equal to the total tax so paid.\n(3) In subsection (2) “the tax due” means the amount of tax due as a result of section 394 ....\n(4) For rules identifying shares ceasing to be subject to Schedule 2 share incentive plans, see section 508 of ITEPA 2003.",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Words in s. 395(1)(b) substituted (6.4.2014) by Finance Act 2014 (c. 26), Sch. 8 paras. 58, 89 (with Sch. 8 paras. 90-96)"
    },
    {
      "type": "F",
      "label": "F2",
      "text": "Words in s. 395(3) omitted (with effect in accordance with Sch. 1 para. 73 of the amending Act) by virtue of Finance Act 2016 (c. 24), Sch. 1 para. 8"
    },
    {
      "type": "F",
      "label": "F3",
      "text": "Words in s. 395(4) substituted (6.4.2014) by Finance Act 2014 (c. 26), Sch. 8 paras. 58, 89 (with Sch. 8 paras. 90-96)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2005/5/section/395",
    "retrieved_at": "2026-10-29T09:16:32.370392+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."
}