Section 51 | Rate of tax. ^F1

(1)Tax shall be charged—

(a)at the higher rate, in the case of a premium which is liable to tax at that rate; and

(b)at the standard rate, in any other case.

(2)For the purposes of this Part—

(a)the higher rate is 20 per cent .; and^F2

(b)the standard rate is 12 per cent .^F3