Section 895 | Deduction at source application

(1)The holder of registered gross-paying government securities may make a deduction at source application in respect of the securities.

(2)A deduction at source application in respect of any securities is an application—

(a)for payments of interest on those securities to be subject to the duty to deduct sums representing income tax under section 892,

(b)made to the Registrar, and

(c)made in such form as the Registrar may, with the approval of the Treasury, prescribe.

(3)A deduction at source application in respect of any securities has effect from the date which is one month after the date on which it is made until—

(a)the securities cease to be registered in the name of the person who made the application, or

(b)the application ceases to have effect under section 896 following its withdrawal in accordance with that section.

(4)If any registered gross-paying government securities are held on trust, the holders of the securities may make a deduction at source application in respect of them without the consent of any other person.

(5)Subsection (4) applies despite anything in the instrument creating the trust.

(6)In this Chapter—^F1

“registered” means—

(a)entered in the register of the Registrar, or

(b)entered in a register maintained in accordance with regulations under section 785 of the Companies Act 2006 (provision enabling procedures for evidencing and transferring title), and

“the Registrar” means the person or persons appointed in accordance with regulations under section 47(1)(b) of FA 1942 (see regulation 3 of the Government Stock Regulations 2004 (S.I. 2004/1611)).