3(1)Section 266 (life assurance premiums) is amended as follows.U.K.
(2)In subsection (1)—
(a)for “individual” substitute “ eligible individual ”, and
(b)omit “or makes a payment falling within subsection (7) below”.
(3)After that subsection insert—
“(1A)For the purposes of subsection (1) above an individual is an eligible individual if the individual—
(a)is resident in the United Kingdom, or
(b)meets the conditions in section 56(3) of ITA 2007.”
(4)In subsection (3), omit “(7),”.
(5)In subsection (4), for “subsections (7) and” substitute “ subsection ”.
(6)Omit subsection (7).
(7)In subsection (8), for “and is entitled to relief by virtue of section 278(2) or (2ZA)” substitute “ (but is entitled to relief by virtue of subsection (1A)(b)) ”.
4(1)Section 274 (limits on relief under sections 266 and 273) is amended as follows.U.K.
(2)In subsection (1), omit “or other sums”.
(3)In subsection (2)—
(a)for “sections 266 and 273” substitute “ section 266 ”, and
(b)omit “or sums”, and
(c)for “the appropriate rate” substitute “ 12.5% ”.
(4)Omit subsection (3).
(5)In subsection (4), omit “or other sum” (in both places).
(6)In the heading, for “sections 266 and 273” substitute “ section 266 ”.
5U.K.In paragraph 6(1) of Schedule 14 (provisions ancillary to section 266), omit “, otherwise than in accordance with subsection (7) of that section,”.