{
  "url": "https://openlegislation.uk/lloyds-underwriters-tax-regulations-1995/note",
  "json_url": "https://openlegislation.uk/lloyds-underwriters-tax-regulations-1995/note.json",
  "legislation": "uksi/1995/351",
  "legislation_title": "The Lloyd’s Underwriters (Tax) Regulations 1995",
  "legislation_url": "https://openlegislation.uk/lloyds-underwriters-tax-regulations-1995",
  "path": "note",
  "kind": "note",
  "number": null,
  "heading": "Explanatory note",
  "text": "(This note is not part of the Regulations)\nThese Regulations make provision for the taxation of underwriting members of Lloyd’s and, in doing so, supplement the provisions contained in Chapter III of Part II of the Finance Act 1993 (“the 1993 Act”) relating to members who are individuals, and Chapter V of Part IV of the Finance Act 1994 (“the 1994 Act”) relating to corporate members. The Regulations have effect from the year of assessment 1992–93 in their application to members who are individuals, and from the underwriting year 1994 in their application to corporate members, and revoke certain previous Regulations as mentioned below. Authority for the retrospective effect of these Regulations is given by sections 182(4) and 184(3) of the 1993 Act, and section 230(3) of the 1994 Act.\nRegulation 1 provides for citation, commencement and effect, and regulation 2 contains definitions.\nRegulation 3 extends the definitions of “managing agent” in section 184(1) of the 1993 Act and section 230(1) of the 1994 Act so as to cater for the case where the person who was acting as the managing agent of a syndicate of members at the end of an underwriting year is no longer so acting at the time when the syndicate profits of that underwriting year fall to be assessed. The regulation specifies the person who is to be the managing agent in such a case for the purposes of Schedule 19 to the 1993 Act (returns and claims by managing agents) (“Schedule 19”).\nRegulations 4 to 8 make provision for the assessment and collection of tax on the profits arising from a member’s underwriting business. Regulation 4 imports the provisions of the Taxes Management Act 1970, the Income Tax Acts and the Corporation Tax Acts relating to the assessment and collection of tax. Regulation 5 makes special provision for assessment in connection with insurance money payable to an individual member under a stop-loss insurance in respect of a loss in his underwriting business, or in connection with an amount payable to a member out of the High Level Stop Loss Fund in respect of such a loss. Regulation 6 makes a similar provision in connection with insurance money payable to a corporate member. Regulation 7 provides for an extension of time for delivery of a return of a syndicate profit or loss or a return apportioning a syndicate profit or loss, and for reasonable excuse for failure to deliver such a return. Regulation 8 provides that section 113(1B!) of the Taxes Management Act 1970 (completion of assessing procedure) shall apply to determinations under Schedule 19 as it applies to assessments.\nRegulations 9 to 16 make provision in the event of the cessation of a member’s underwriting business. Regulation 9 specifies the final year of assessment of an individual member on the cessation of business where his deposit at Lloyd’s is repaid, released or extinguished after 31st December 1992 in the circumstances specified in the regulation. Regulation 10 specifies the date of cessation of an individual member’s underwriting business where the cessation occurs by reason of his death on or after 6th April 1994 and his deposit at Lloyd’s is repaid, released or extinguished in the circumstances specified in the regulation. Regulations 11 and 12 make provision for charging profits or losses of a member’s underwriting business arising after the death of a member. Regulation 13 makes special provision for assessment on the cessation of an individual member’s underwriting business which commenced before 1st January 1972. Regulation 14, by way of modifying the effect of secti!ons 179 and 179A of the 1993 Act, specifies the date on which an individual member’s underwriting business is deemed, following cessation of that business, to be permanently discontinued for the purposes of terminal loss relief. Regulation 15 adapts section 175(4) of the 1993 Act in relation to the winding up of an old-style special reserve fund on the death of a member. Regulation 16 specifies the final underwriting year of a corporate member on the cessation of its business where its deposit is repaid, released or extinguished in the circumstances specified in the regulation.\nRegulation 17 revokes the Lloyd’s Underwriters (Tax) Regulations 1974 (S.I. 1974/896), the Lloyd’s Underwriters (Tax) (No. 2) Regulations 1974 (S.I. 1974/1330), which amended S.I. 1974/896, and the Lloyd’s Underwriters (Schedule 19A to the Income and Corporation Taxes Act 1988) Regulations 1990 (S.I. 1990/2524). Annual Regulations made with respect to the years of assessment 1986–87 to 1991–92 each provided that the substantive regulations contained in the Lloyd’s Underwriters (Tax) Regulations 1974 should not have effect for the year of assessment concerned, with the exception of regulation 7 (run-off syndicates) and regulation 21 (transitional relief on cessation of business reflecting the change from a previous year basis of assessment to a current year basis of assessment for the year of assessment 1972–73 and subsequent years). The effect of regulation 7 is preserved in regulation 13 of the Lloyd’s Underwriters (Tax) (1992–93 to 1996–97) Regulations 1995 (S.I. 1995/352), while the effect of regulation 21 is preserved in regulation 13 of these Regulations. The Lloyd’s Underwriters (Schedule 19A to the Income and Corporation Taxes Act 1988) Regulations 1990 have been rendered obsolete by the repeal of Schedule 19A by Part III (12) of Schedule 23 to the 1993 Act for the year 1992–93 and subsequent years of assessment, and its replacement by Schedule 19 to the 1993 Act.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/1995/351/note",
    "retrieved_at": "2026-10-29T13:16:35.653015+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."
}