There is no prescribed form of certificate which insurers need to provide to policyholders after a chargeable event has arisen, although it must contain the information required by ICTA88/S552 (5).
has been amended to take into account the rewrite of the
chargeable event rules for income tax purposes in ITTOIA05.
Although the structure and wording in ITTOIA05 are different from
that in ICTA88, the rules governing what is a chargeable event and
how any gain is calculated are fundamentally the same. The
reporting requirements in section 552 also remain fundamentally the
same. Although they were modified to include references to
chargeable events in both ITTOIA05 and ICTA88, an insurer should
only report information about an event and gain once on a single
certificate for each policyholder and to HMRC, where this is
required.
Following ITTOIA05, the rules in ICTA88 were retained, in
slightly modified form to apply where a company is the person
liable on any gains. However, the chargeable event gain rules in
ICTA88 no longer apply from the start of a company’s first
accounting period to begin on or after 1 April 2008 and instead
companies are taxed under the loan relationships rules -
IPTM3900 onwards. References to the ICTA
rules in
ICTA88/S552 are also removed.
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