Finance Act 2019
Finance Act 2019 (2019 c. 1)
- Finance Act 2019 (2019 c. 1)
- PART 1 Direct taxes
- Charge to tax
- 1 Income tax charge for tax year 2019-20
- 2 Corporation tax charge for financial year 2020
- Income tax rates, allowances and limits
- 3 Main rates of income tax for tax year 2019-20
- 4 Default and savings rates of income tax for tax year 2019-20
- 5 Basic rate limit and personal allowance
- 6 Starting rate limit for savings for tax year 2019-20
- Employment and social security income
- 7 Optional remuneration arrangements: arrangements for cars and vans
- 8 Exemption for benefit in form of vehicle-battery charging at workplace
- 9 Exemptions relating to emergency vehicles
- 10 Exemption for expenses related to travel
- 11 Beneficiaries of tax-exempt employer-provided pension benefits
- 12 Tax treatment of social security income
- Chargeable gains: interests in UK land etc
- 13 Disposals by non-UK residents etc
- 14 Disposals of UK land etc: payments on account of capital gains tax
- International matters
- 15 Offshore receipts in respect of intangible property
- 16 Avoidance involving profit fragmentation arrangements
- 17 Non-UK resident companies carrying on UK property businesses etc
- 18 Diverted profits tax
- 19 Hybrid and other mismatches: scope of Chapter 8 and “financial instrument”
- 20 Controlled foreign companies: finance company exemption and control
- 21 Permanent establishments: preparatory or auxiliary activities
- 22 Payment of CGT exit charges
- 23 Corporation tax exit charges
- 24 Group relief etc: meaning of “UK related” company
- Corporation tax: miscellaneous
- 25 Intangible fixed assets: restrictions on goodwill and certain other assets
- 26 Intangible fixed assets: exceptions to degrouping charges etc
- 27 Corporation tax relief for carried-forward losses
- 28 Corporate interest restriction
- 29 Debtor relationships of company where money lent to connected companies
- Capital allowances
- 30 Construction expenditure on buildings and structures
- 31 Special rate expenditure on plant and machinery
- 32 Temporary increase in annual investment allowance
- 33 First-year allowances and first-year tax credits
- 34 First-year allowance: expenditure on electric vehicle charge points
- 35 Qualifying expenditure: buildings, structures and land
- Leases
- 36 Changes to accounting standards etc
- Oil activities and petroleum revenue tax
- 37 Oil activities: transferable tax history
- 38 Petroleum revenue tax: post-transfer decommissioning expenditure
- Miscellaneous reliefs
- 39 Entrepreneurs' relief
- 40 Gift aid etc: restrictions on associated benefits
- 41 Charities: exemption for small trades etc
- PART 2 Other taxes
- Stamp duty land tax
- 42 Relief for first-time buyers in cases of shared ownership
- 43 Repayment to first-time buyers in cases of shared ownership
- 44 Higher rates of tax for additional dwellings etc
- 45 Exemption in respect of financial institutions in resolution
- 46 Changes to periods for delivering returns and paying tax
- Stamp duty and SDRT
- 47 Stamp duty: transfers of listed securities and connected persons
- 47A Stamp duty: transfers of unlisted securities and connected persons
- 48 SDRT: listed securities and connected persons
- 48A SDRT: unlisted securities and connected persons
- 49 Stamp duty: exemption in respect of financial institutions in resolution
- 50 Stamp duty and SDRT: exemptions in respect of share incentive plans
- Value added tax
- 51 Duty of customers to account for tax on supplies
- 52 Treatment of vouchers
- 53 Groups: eligibility
- Alcohol
- 54 Rates of duty on cider, wine and made-wine
- 55 Excise duty on mid-strength cider
- Tobacco
- 56 Rates
- 57 Tobacco for heating
- Vehicle duties
- 58 VED: rates for light passenger vehicles, light goods vehicles, motorcycles etc
- 59 VED: taxis capable of zero emissions
- 60 HGV road user levy
- Air passenger duty
- 61 Rates of duty from 1 April 2020
- Gaming
- 62 Remote gaming duty: rate
- 63 Gaming duty
- Environmental taxes
- 64 Climate change levy: exemption for mineralogical and metallurgical processes
- 65 Landfill tax rates
- Inheritance tax
- 66 Residence nil-rate band
- Soft drinks industry levy
- 67 Application of penalty provisions
- 68 Isle of Man
- PART 3 Carbon emissions tax
- Introductory
- 69 Carbon emissions tax
- Charge to tax
- 70 Charge to carbon emissions tax
- 71 “Reported carbon emissions”
- 72 “Emissions report” and “reporting period”
- 73 “Emissions allowance”
- 74 Liability to pay carbon emissions tax
- Administration etc.
- 75 Power to make further provision about carbon emissions tax
- 76 Consequential provision
- General
- 77 Interpretation
- 78 Regulations
- 79 Commencement and transitional provision
- PART 4 Administration and enforcement
- Time limits for assessments etc
- 80 Offshore matters or transfers: income tax and capital gains tax
- 81 Offshore matters or transfers: inheritance tax
- Security deposits
- 82 Construction industry scheme and corporation tax etc
- International agreements
- 83 Resolution of double taxation disputes
- 84 International tax enforcement: disclosable arrangements
- Payment of unlawful advance corporation tax
- 85 Interest in respect of unlawful ACT
- 86 Section 85: supplementary
- Voluntary returns
- 87 Voluntary returns
- Interest
- 88 Interest under section 178 of FA 1989 and section 101 of FA 2009
- PART 5 Miscellaneous and final
- Regulatory capital securities
- 89 Regulatory capital securities and hybrid capital instruments
- EU withdrawal
- 90 Minor amendments in consequence of EU withdrawal
- Preparatory expenditure
- 91 Emissions reduction trading scheme: preparatory expenditure
- Reviews
- 92 Impact analyses of the anti-avoidance provisions of this Act
- 93 Review of effectiveness of provisions on tax avoidance
- 94 Review of public health effects of gaming provisions
- 95 Review of changes made by sections 80 and 81
- Other
- 96 Interpretation
- 97 Short title
- SCHEDULES
- SCHEDULE 1 Chargeable gains accruing to non-residents etc
- PART 1 Extending cases in which non-residents are charged to tax etc
- PART 2 Consequential amendments
- TMA 1970
- TCGA 1992
- IHTA 1984
- FA 2005
- ITA 2007
- CTA 2009
- CTA 2010
- PART 3 Commencement and transitional provisions etc
- SCHEDULE 2 Returns for disposals of UK land etc
- PART 1 Returns and payments on account: disposals of UK land etc
- Disposals to which Schedule applies
- Obligation to deliver a return to officer of Revenue and Customs
- Obligation to make a payment on account of capital gains tax
- Calculation of an amount of capital gains tax notionally chargeable
- Repayments of amounts previously paid on account of capital gains tax
- Collective investment vehicles to which Sch.5AAA to TCGA 1992 applies
- Effect of s.144(2) or 144A(2)(b) of TCGA 1992 when asset sold on exercise of option
- Making of assumptions, reasonable estimates etc
- Contents of return
- Interpretation of “residential property gains”
- Other interpretation
- PART 2 Notification of chargeable amounts, amendments of returns, enquiries etc
- Requirement to notify HMRC of amounts chargeable to tax
- Amendments of returns
- Enquiries
- Amendments of returns during enquiry etc
- Revenue determinations
- Discovery assessments
- Interpretation
- PART 3 Consequential amendments
- Amendments of TMA 1970
- Amendments of other Acts
- Late payment interest
- Commencement
- SCHEDULE 3 Offshore receipts in respect of intangible property
- SCHEDULE 4 Avoidance involving profit fragmentation arrangements
- Introduction and overview
- Profit fragmentation arrangements
- Transfer of value deriving directly or indirectly from a business
- The enjoyment conditions
- Tax mismatch
- Tax mismatch: resulting reduction and resulting increase
- Adjustments required to be made in relation to arrangements
- Double taxation
- Reimbursement payments ignored for tax purposes
- Treatment of a person who is a member of a partnership
- Other defined terms
- Commencement
- SCHEDULE 5 Non-UK resident companies carrying on UK property businesses etc
- PART 1 Extension of scope of charge
- PART 2 Supplementary & Consequential amendments
- FA 1998
- FA 2004
- ITTOIA 2005
- ITA 2007
- CTA 2009
- CTA 2010
- TIOPA 2010
- PART 3 Commencement and transitional provisions
- Commencement
- Transitional provisions
- SCHEDULE 6 Diverted profits tax
- Introduction
- Calculation of taxable diverted profits
- Extension of period for issuing a preliminary notice
- Relief from corporation tax
- Extension of the review period
- Extension of period for amendment of company tax return
- SCHEDULE 7 Payment of CGT exit charges
- CGT exit charge payment plans
- Penalties
- CT exit charge payment plans
- Commencement
- SCHEDULE 8 Corporation tax exit charges
- PART 1 CT exit charge payment plans
- PART 2 Repeal of certain postponement provisions
- PART 3 Treatment of assets subject to EU exit charges
- SCHEDULE 9 Intangible fixed assets: restrictions on goodwill and certain other assets
- SCHEDULE 10 Corporation tax relief for carried-forward losses
- Restrictions on deductions from profits
- Terminal losses: straddling periods
- Group relief for carried-forward losses
- Transferred trades
- Deduction buying
- Commencement
- SCHEDULE 11 Corporate interest restriction
- Introductory
- Tax-interest amounts: amounts capitalised in intangible fixed assets
- Carry forward of interest allowance: new holding company
- Carry forward of excess debt cap: new holding company
- Adjusted net group-interest expense: capitalised interest
- Adjusted net group-interest expense: impairment debts and credits and connected companies
- Interest allowance (alternative calculation) election: unpaid employees' remuneration
- Interest allowance (alternative calculation) election: changes in accounting policy
- Interest allowance (non-consolidated investment) election
- Public infrastructure
- Real Estate Investment Trusts
- Interest restriction returns
- Consequential amendments
- Commencement
- Transitional provision in case of interest allowance (alternative calculation) elections
- SCHEDULE 12 Eliminating tax mismatch for certain debt
- Loan relationships with qualifying link
- Commencement and transitional provisions
- Power to amend section 352B of CTA 2009
- SCHEDULE 13 Annual investment allowance: periods straddling 1 January 2019 or 1 April 2023
- Chargeable periods which straddle 1 January 2019
- Chargeable periods which straddle 1 April 2023
- Operation of annual investment allowance where restrictions apply
- SCHEDULE 14 Leases: changes to accounting standards etc
- PART 1 Finance leases: amendments as a result of changes to accounting standards
- Commencement
- PART 2 Long funding leases
- Amendments to Part 2 of CAA 2001
- Meaning of “short lease”
- The lease payments test: interest rate implicit in lease
- Commencement
- PART 3 Changes to accounting standards and tax adjustments
- Repeal of section 53 of FA 2011
- Transitional provisions following repeal of section 53 of FA 2011: introductory
- Cases where asset first recognised for period of account beginning on or after 1 January 2019
- Cases where asset first recognised for an earlier period of account
- Certain cases where there is a transfer of a lease
- Cases where lessee permanently ceases to carry on activities
- Application of paragraphs 12 to 16 to lease portfolios
- Corporate interest restriction: changes of accounting policy
- Corporate interest restriction: treatment of certain adjustments
- SCHEDULE 15 Oil activities: transferable tax history
- PART 1 Election to transfer tax history
- Entitlement to make a TTH election
- PART 2 The total TTH amount
- The total TTH amount
- Limits on total TTH amount
- The “uplifted decommissioning costs estimate”
- Consecutive accounting periods
- The transferred profits amount
- “Eligible ring fence profits”
- PART 3 Effect of a TTH election on the seller
- Application of this Part
- Effect of a TTH election: corporation tax
- Effect of a TTH election: supplementary charge
- PART 4 Effect of a TTH election on the purchaser
- Application of this Part
- Effect of trade loss relief provisions
- Repayment of supplementary charge
- Supplementary provision: repayment and enquiries
- PART 5 TTH activation
- TTH activation event
- Decommissioning expenditure amount
- PART 6 Allocation of activated TTH amount
- Application of this Part
- “Total activated TTH amount”
- Allocation of activated TTH to an accounting period
- Transferred profits amount for a pre-acquisition accounting period
- “Unused transferred profits amount”
- “Available activated TTH amount”
- “Closing balance of activated TTH”
- “Closing balance of the total TTH amount”
- PART 7 Supplementary charge: recalculation of adjusted ring fence profits
- Recalculation: steps
- “Reduced ARFP amount”
- “Activated ARFP amount”
- “ARFP uplift amount”
- “Adjusted finance cost amount”
- PART 8 TTH elections: conditions and procedure
- Election conditions: associated companies
- Election conditions: decommissioning relief agreements
- Timing of election
- Content
- Timing of an enquiry: cases where the corporate restructuring condition is met
- PART 9 TTH elections: approval
- Approval notice
- Deemed approval
- Conditions of approval
- Profit tracking requirements
- Senior tracking officers
- PART 10 TTH elections: effective date and withdrawal
- Effective date of a TTH election
- Withdrawal of a TTH election by an officer of Revenue and Customs
- PART 11 TTH elections: inaccuracies
- Penalties for errors
- Amendment of TTH election: amounts discovered to be incorrect
- PART 12 Chargeable gains
- Transferred tax history is not to be regarded as an asset
- Consideration for transferred tax history to be treated as consideration for the licence interest
- Market value of the licence interest: value of transferred tax history to be taken into account
- Licence swaps: references to disposal include references to transfer of tax history
- Interpretation of this Part
- PART 13 Onward sale
- Application of paragraphs 83 to 90
- Original TTH amount treated as eligible ring fence profits
- Original TTH amount transferred before eligible ring fence profits (subject to opt-out)
- Opt-out under paragraph 85(2): further provision about the application of this Schedule
- Supplementary charge: treatment of transferred adjusted ring fence profits
- Tracking
- Sale by the second purchaser or subsequent sale
- PART 14 Supplementary
- Multiple interests in the same oil field
- Multiple TTH elections
- Appeals
- Anti-avoidance
- PART 15 Interpretation
- Introductory
- “UK oil licence”
- “Licensed area” and “transferred oil field”
- “Licence transfer date”
- The seller's “reference accounting period”
- The purchaser's “reference accounting period”
- The seller's “pre-transfer accounting periods”
- The purchaser's “pre-acquisition accounting periods” and “post-acquisition accounting periods”
- Accounting periods before the purchaser comes within the charge to corporation tax
- “Transferred profits amount” and “activated transferred profits amount”
- “Trade loss relief provisions”
- SCHEDULE 16 Entrepreneurs' relief
- Periods throughout which conditions for relief must be met
- Additional requirements relating to the beneficial ownership of companies
- Relief where company ceases to be individual's personal company
- Commencement
- SCHEDULE 17 VAT treatment of vouchers
- SCHEDULE 18 VAT groups: eligibility
- PART 1 Eligibility of individuals and partnerships
- PART 2 Consequential amendments
- VATA 1994
- SCHEDULE 19 Gaming duty
- Accounting periods
- Carrying forward of losses
- Removal of obligation to make payments on account
- Commencement
- SCHEDULE 20 Taxation of hybrid capital instruments
- PART 1 Revocation of special rules for regulatory capital securities
- PART 2 Corporation tax, income tax and capital gains tax
- Distributions in respect of hybrid capital instruments
- Loan relationships: credits and debits to be brought into account
- Normal commercial loans
- Consequential amendments
- Commencement for purposes of corporation tax
- Commencement for purposes of income tax and CGT
- Power to amend definition of “hybrid capital instrument”
- PART 3 Stamp duty and stamp duty reserve tax
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