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Legislation
Income Tax (Trading and Other Income) Act 2005

Crossheading Part surrenders and assignments: periodic calculations and excess events

  • Section 498 Requirement for periodic calculations in part surrender or assignment cases
  • Section 499 Meaning of “insurance year” and “final insurance year”
  • Section 500 Events treated as part surrenders
  • Section 501 Part surrenders: loans
  • Section 502 Exception from section 501 for loans to buy life annuities
  • Section 503 Exception from section 501 for certain loans under qualifying policies
  • Section 504 Part surrenders: payments under guaranteed income bonds etc.
  • Section 505 Assignments etc. involving co-ownership
  • Section 506 Assignments occurring when there is a co-ownership transaction
  • Section 507 Method for making periodic calculations under section 498
  • Section 507A Recalculating gains under section 507
  • Section 508 The value of rights partially surrendered or assigned
  • Section 509 Chargeable events in certain cases where periodic calculations show gains
  1. Part surrenders and assignments: periodic calculations and excess events
  2. Events treated as part surrenders

Section 500 | Events treated as part surrenders

From legislation.gov.uk

The following events are treated for the purposes of this Chapter as a surrender of a part of the rights under the policy or contract in question—

(a)the falling due of a sum payable as a result of a right under a policy or contract to participate in profits where further rights remain under it,

(b)in the case of a contract for a life annuity which provides for a capital sum to be taken as an alternative in part to the annuity payments, taking the capital sum,

(c)the making of a loan to which section 501 applies, and

(d)the making of a payment to which section 504 applies (payments by insurers under guaranteed income bonds etc.).

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