SCHEDULES

SCHEDULE 10Insurance companies: miscellaneous

Internal linked funds and net value

9

1

In section 431(2) of ICTA (interpretative provisions relating to insurance companies) insert at the appropriate place—

“internal linked fund”, in relation to an insurance company, means an account—

a

to which linked assets are appropriated by the company, and

b

which may be divided into units the value of which is determined by the company by reference to the value of those assets;

“net value”, in relation to any assets, means the excess of the value of the assets over the value of money debts (within the meaning of Chapter 2 of Part 4 of the Finance Act 1996) attributable to an internal linked fund which are not owed in respect of liabilities;

2

Omit—

a

in section 432ZA(6) of ICTA, the definition of “internal linked fund”,

b

section 432A(9A) of that Act,

c

the definition of “internal linked fund” in section 210B(8) of TCGA 1992, and

d

paragraph 3A(6) of Schedule 11 to FA 1996.