Section 151U Treatment of bond-holder and bond-issuerF1
This section applies for the purposes of this Act and any other enactment about capital gains tax and irrespective of the position for other purposes.
The bond-holder under investment bond arrangements is not treated as having a legal or beneficial interest in the bond assets.
The bond-issuer under such arrangements is not treated as a trustee of the bond assets.
Gains accruing to the bond-issuer in connection with the bond assets are gains of the bond-issuer and not of the bond-holder (and do not arise to the bond-issuer in a fiduciary or representative capacity).
Payments made by the bond-issuer by way of redemption payment or additional payment are not made in a fiduciary or representative capacity.
The bond-holder is not entitled to relief for capital expenditure in connection with the bond assets.
Expressions used in this section have the same meaning as in section 151N.
Annotations
Textual amendments
- F1
S. 151U inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 2 para. 41 (with Sch. 9 paras. 1-9, 22)
Notes on Part IV
Modifications
- C1
Pt. IV: power to modify conferred (7.4.2005) by Finance Act 2005 (c. 7), s. 21(8)-(10)
Notes on Chapter 4
Textual amendments
- F1
Pt. 4 Ch. 4 inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 2 para. 28 (with Sch. 9 paras. 1-9, 22)
Modifications
- C1
Pt. 4 Ch. 4 applied (with modifications) (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 9 para. 40 (with Sch. 9 paras. 1-9, 22)
Notes on Special rules for investment bond arrangements
Textual amendments
- F1
S. 151T and cross-heading inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 2 para. 40 (with Sch. 9 paras. 1-9, 22)