Section 256 | Different giving effect rules for BLAGAB

(1)Subsection (2) applies if a company—

(a)carries on basic life assurance and general annuity business, and

(b)is charged to tax in accordance with the I - E rules in respect of that business.^F1F2F3

(2)If this subsection applies—

(a)any allowances (or parts of allowances) to which the company is entitled in respect of the basic life assurance and general annuity business are to be given effect by treating them for the purposes of section 76 of FA 2012 as deemed BLAGAB management expenses for the chargeable period in question, and^F4

(b)any charges (or parts of charges) to which the company is liable in respect of that business are to be given effect by treating the company as receiving for the chargeable period in question an amount which is equal to the amount of the charges (or parts of charges) and to which the charge to corporation tax on income applies.^F5

(3)Repealed^F6

(4)Repealed^F7