Section 185B | Annual profits and deemed profits

From legislation.gov.uk

(1)For the purposes of section 185A(3) the amount of the annual profits from the interest in the property is the total amount of profits received from the interest in the tax year—

(a)by each person who holds the interest directly, and

(b)at a time when the property is scheme-held taxable property.

(2)For the purposes of section 185A(3) and (4) the amount of the deemed profits from the interest in the property for the tax year is—

Formula

\frac{DMV}{10} \times \frac{DTP}{DY}

where—

DMV is the deemed market value of the interest in the property for the year (see section 185C),

DTP is the number of days in the year for which the property is scheme-held taxable property, and

DY is the number of days in the year.

(3)In this Part “scheme-held taxable property” means property—

(a)which is taxable property, and

(b)an interest in which is held by the pension scheme.