Finance Act 1984

• (b) an account period of an offshore fund which is a unit trust scheme falling within section 94(1)(b) above shall end if, and at the time when, the trustees of the scheme become resident in the United Kingdom.

• (11) The provisions of Part III of Schedule 19 to this Act shall have effect with respect to the procedure for and in connection with the certification of an offshore fund as a distributing fund, and the supplementary provisions in Part IV of that Schedule shall have effect.

Charge to tax of offshore income gains

Charge to income or corporation tax of offshore income gain

96

• (1) If a disposal to which this Chapter applies gives rise, in accordance with section 93 above or Schedule 20 to this Act, to an offshore income gain, then, subject to the provisions of this section, the amount of that gain shall be treated for all the purposes of the Tax Acts as income arising at the time of the disposal to the person making the disposal and as constituting profits or gains chargeable to tax under Case VI of Schedule D for the chargeable period in which the disposal is made.

• (2) Subject to subsection (3) below, sections 2 and 12 of the principal Act (persons chargeable to tax in respect of chargeable gains) and section 246(2)(b) of the Taxes Act (chargeable gains accruing to certain companies not resident in the United Kingdom) shall have effect in relation to income tax or corporation tax in respect of offshore income gains as they have effect in relation to capital gains tax or corporation tax in respect of chargeable gains.

• (3) In the application of section 12 of the principal Act in accordance with subsection (2) above, paragraphs (a) and (b) of subsection (1) of that section (which define the assets on the disposal of which chargeable gains are taxable) shall have effect with the omission of the words " situated in the United Kingdom and ".

• (4) In a case where section 12 of the principal Act has effect as modified by subsection (3) above, section 246 of the Taxes Act shall have effect as if, in subsection (2)(b), the words " situated in the United Kingdom " were omitted.

• (5) In the case of individuals resident or ordinarily resident but not domiciled in the United Kingdom, section 14 of the principal Act (which provides for taxation on a remittance basis) shall have effect in relation to income tax chargeable by virtue of subsection (1) above on an offshore income gain as it has effect in relation to capital gains tax in respect of gains accruing to such individuals from the disposal of assets situated outside the United Kingdom.

• (6) Section 360(2) of the Taxes Act (exemption for charities from tax on chargeable gains by reference to section 145 of the principal Act) shall apply in relation to income tax chargeable by virtue of subsection (1) above on an offshore income gain as it applies in relation to tax on chargeable gains.

• (7) In any case where—

• (a) a disposal to which this Chapter applies is a disposal of settled property, within the meaning of the principal Act, and

• (b) for the purposes of the principal Act, the general administration of the trusts is ordinarily carried on outside the United Kingdom and the trustees or a majority of them for the time being are not resident or not ordinarily resident in the United Kingdom,

subsection (1) above shall not apply in relation to any offshore income gain to which the disposal gives rise.

• (8) In Schedule 10 to the Finance Act 1975 (capital transfer tax: valuation) in paragraph 9 (value transferred on death) at the end of sub-paragraph (1) there shall be added the words

and (e) allowance shall be made for a liability for income tax in respect of an offshore income gain, within the meaning of Chapter VII of Part II of the Finance Act 1984, arising on a disposal which is deemed to occur on the death by virtue of section 92(3) of that Act.

Offshore income gains accruing to persons resident or domiciled abroad

97

• (1) Section 15 of the principal Act (chargeable gains accruing to certain non-resident companies) shall have effect in relation to offshore income gains subject to the following modifications—

• (a) for any reference to a chargeable gain there shall be substituted a reference to an offshore income gain;

• (b) for the reference in subsection (7) to capital gains tax there shall be substituted a reference to income tax or corporation tax ; and

• (c) paragraphs (b) and (c) of subsection (5) and subsection (8) shall be omitted.

• (2) Subject to subsections (3) and (4) below, sections 80 to 84 of the Finance Act 1981 (gains of non-resident settlements) shall have effect in relation to offshore income gains subject to the following modifications,—

• (a) for any reference to chargeable gains, other than the reference in section 80(5), there shall be substituted a reference to offshore income gains ;

• (b) in section 80(2) for the words " tax under section 4(1) of the Capital Gains Tax Act 1979" there shall be substituted the words " income tax by virtue of section 96 of the Finance Act 1984 ";

• (c) in section 80(6) the reference to tax shall be construed as a reference to income tax or corporation tax ; and

• (d) sections 80(8) and 83(6) shall be omitted.

• (3) In subsection (5) of section 80 of the Finance Act 1981, both as originally enacted and as applied by subsection (2) above, the reference to chargeable gains shall be construed as including a reference to offshore income gains.

• (4) If, in any year of assessment,—

• (a) under subsection (3) of section 80 of the Finance Act 1981, as originally enacted, a chargeable gain falls to be attributed to a beneficiary, and

• (b) under that subsection, as applied by subsection (2) above, an offshore income gain also falls to be attributed to him,

subsection (4) of that section (gains attributed in proportion to capital payments received) shall have effect as if it required offshore income gains to be attributed before chargeable gains.

• (5) Subject to subsection (6) below, for the purpose of determining whether an individual ordinarily resident in the United Kingdom has a liability for income tax in respect of an offshore income gain which arises on a disposal to which this Chapter applies where the disposal is made by a person resident or domiciled outside the United Kingdom, the following enactments (which relate to the avoidance of tax by the transfer of assets abroad)—

• (a) section 478 of the Taxes Act, and

• (b) section 45 of the Finance Act 1981,

shall apply as if the offshore income gain arising to the person resident or domiciled outside the United Kingdom constituted income becoming payable to him and, accordingly, any reference in those enactments to income of (or payable or arising to) such a person includes a reference to the offshore income gain arising to him by reason of the disposal to which this Chapter applies.

• (6) To the extent that an offshore income gain is treated, by virtue of subsection (1) or subsection (2) above, as having accrued to any person resident or ordinarily resident in the United Kingdom, that gain shall not be deemed to be the income of any individual for the purposes of—

• (a) either of the enactments referred to in subsection (5) above; or

• (b) any provision of Part XVI of the Taxes Act (settlements).

Deduction of offshore income gain in determining capital gain

98

• (1) The provisions of this section apply where a disposal to which this Chapter applies gives rise to an offshore income gain; and, if that disposal also constitutes the disposal of the interest concerned for the purposes of the principal Act, then that disposal is in the following provisions of this section referred to as " the 1979 Act disposal ".

• (2) So far as relates to an offshore income gain which arises on a material disposal, within the meaning of Part I of Schedule 20 to this Act, subsections (3) and (4) below shall have effect in relation to the 1979 Act disposal in substitution for section 31(1) of the principal Act (deduction of consideration chargeable to tax on income).

• (3) Subject to the following provisions of this section, in the computation under Chapter II of Part II of the principal Act of any gain accruing on the 1979 Act disposal, a sum equal to the offshore income gain shall be deducted from the sum which would otherwise constitute the amount or value of the consideration for the disposal.

• (4) Where the 1979 Act disposal is of such a nature that, by virtue of section 35 of the principal Act (part disposals) an apportionment falls to be made of certain expenditure, no deduction shall be made by virtue of subsection (3) above in determining, for the purposes of the fraction in subsection (2) of that section, the amount or value of the consideration for the disposal.

• (5) If the 1979 Act disposal forms part of a transfer to which section 123 of the principal Act applies (roll-over relief on transfer of business in exchange wholly or partly for shares) then, for the purposes of subsection (4) of that section (determination of the amount of the deduction from the gain on the old assets) " B " in the fraction in that subsection (the value of the whole of the consideration received by the transferor in exchange for the business) shall be taken to be what it would be if the value of the consideration other than shares so received by the transferor were reduced by a sum equal to the offshore income gain.

• (6) Where the disposal to which this Chapter applies constitutes such a disposal by virtue of section 92(6) or section 93(5) above, the principal Act shall have effect as if an amount equal to the offshore income gain to which the disposal gives rise were given (by the person making the exchange concerned) as consideration for the new holding, within the meaning of section 79 of that Act (consideration given or received for new holding on a reorganisation).

• (7) In any case where—

• (a) a disposal to which this Chapter applies by virtue of subsection (3) of section 93 above is made otherwise than to the offshore fund concerned or the persons referred to in subsection (2)(b) of that section, and

• (b) subsequently, a distribution which is referable to the asset disposed of is paid ether to the person who made the disposal or to a person connected with him, and

• (c) the disposal gives rise (in accordance with Part II of Schedule 20 to this Act) to an offshore income gain,

then, for the purposes of the Tax Acts, the amount of the first distribution falling within paragraph (b) above shall be taken to be reduced or, as the case may be, extinguished by deducting therefrom an amount equal to the offshore income gain referred to in paragraph (c) above and, if that amount exceeds the amount of that first distribution, the balance shall be set against the second and, where necessary, any later distribution falling within paragraph (b) above, until the balance is exhausted.

• (8) Section 533 of the Taxes Act (connected persons) applies for the purposes of subsection (7)(b) above.

Offshore income gains of insurance companies

99

• (1) An offshore income gain accruing to an insurance company carrying on life assurance business shall, if it accrues in respect of investments held in connection with that business, be treated for the purposes of sections 310 (rate relief: investment income reserved for policy holders) and 315 (foreign life assurance funds) of the Taxes Act as if it were income from investments held in connection with that business.

• (2) Income attributable to offshore income gains shall be left out of account in computing under section 312 of the Taxes Act (general annuity business and pension business: separate charge on profits) the profits arising to an insurance company from general annuity business and, accordingly, in subsection (2)(a) of section 313 of the Taxes Act (general annuity business) after the words " development gains" there shall be inserted the words " or offshore income gains, within the meaning of Chapter VII of Part II of the Finance Act 1984 ".

• (3) In section 316 of the Taxes Act (overseas life insurance companies: charge on investment income) in subsection (1A) (exclusion of income attributable to development gains) after the words " development gains " there shall be inserted the words " or offshore income gains, within the meaning of Chapter VII of Part II of the Finance Act 1984 ".

• (4) Section 323 of the Taxes Act (interpretation of Chapter II of Part XII of that Act) has effect in relation to this section as if it were included in that Chapter.

Offshore income gains of trustees

100

• (1) Income arising in a year of assessment by virtue of section 96(1) above to trustees shall be chargeable to income tax at a rate equal to the sum of the basic rate and the additional rate for that year.

• (2) In section 17 of the Finance Act 1973 (payments under discretionary trusts), in subsection (3) (amounts to be set against tax assessable on trustees in connection with such payments), at the end of paragraph (e) there shall be inserted the words

and (f) the amount of any tax on income arising to the trustees by virtue of section 96(1) of the Finance Act 1984 (offshore income gains) and charged at a rate equal to the sum of the basic rate and the additional rate by virtue of section 100(1) of that Act

.

• (3) Where an offshore income gain accrues in respect of a disposal of assets made by a person holding them as trustee for a person who would be absolutely entitled as against the trustee but for being an infant, the income which by virtue of section 96(1) above is treated as arising by reference to that gain shall for the purposes of Chapter II of Part XVI of the Taxes Act (settlements on children) be deemed to be paid to the infant; and in this subsection " infant", in relation to Scotland, means a pupil or minor.

PART III — Capital Transfer Tax

Reduction of tax

101

Special discretionary trusts: excluded property

102

• (1) In section 113 of the Finance Act 1982 (charge to tax in respect of property leaving temporary charitable trusts), the following subsection shall be inserted after subsection (6) and will accordingly be applied by sections 114 (accumulation and maintenance trusts), 116 (property leaving employee trusts and newspaper trusts) and 118 (protective trusts and trusts for disabled persons) of that Act—

(6A) Where the whole or part of the amount on which tax is charged under this section is attributable to property which was excluded property at any time during the relevant period then, in determining the rate at which tax is charged under this section in respect of that amount or part, no quarter throughout which that property was excluded property shall be counted.

.

• (2) In subsection (7) of section 113 (which defines " relevant period " for the purposes of subsection (6)) for the words " subsection (6) " there shall be substituted the words " subsections (6) and (6A) ".

• (3) This section has effect in relation to events on or after 9th March 1982.

Discretionary trusts: distributions made within two years of testator's death

103

• (1) After subsection (1A) of section 47 of the Finance Act 1975 (certain distributions made within two years of testator's death to be treated as made under his will) there shall be inserted the following subsection—

(1AA) This Part of this Act shall also apply as mentioned in subsection (1A)(b) above in any case where the circumstances are as mentioned in subsection (1A) but the event in question is one on which tax would be so chargeable apart from— (a) section 115 of the Finance Act 1982 (property becoming subject to employee trusts); (b) section 119 of that Act (property becoming held for charitable purposes or by exempt bodies); or (c) paragraph 1(1) of Schedule 16 to that Act (property becoming comprised in maintenance funds for historic buildings).

• (2) This section has effect in relation to deaths occurring on or after 13th March 1984.

Property moving between settlements

104

• (1) In section 121 of the Finance Act 1982 (property moving between settlements), the following subsection shall be added at the end—

(3) Subsection (1) above does not apply where a reversionary interest in the property expectant on the termination of a qualifying interest in possession subsisting under the first settlement was settled on the trusts of the other settlement before 10th December 1981.

.

• (2) In paragraph 3 of Schedule 7 to the Finance Act 1975 (certain government securities to be excluded property if person beneficially entitled is domiciled and ordinarily resident abroad) the following sub-paragraph shall be inserted after sub-paragraph (2A)—

(2AA) Sub-paragraph (2A) above does not apply where a reversionary interest in the property expectant on the termination of a qualifying interest in possession subsisting under the first settlement was settled on the trusts of the second settlement before 10th December 1981.

.

• (3) This section has effect in relation to events on or after 15th March 1983.

Adjustment of tax

105

• (1) In paragraph 23(3) of Schedule 4 to the Finance Act 1975 (adjustment of tax in cases of fraud, wilful default or neglect), for the words " a person liable for the tax, the period " there shall be substituted the words

any of the following— (a) a person liable for the tax ; and (b) in the case of tax chargeable under Chapter II of Part IV of the Finance Act 1982, the person who is the settlor in relation to the settlement; the period

.

• (2) With effect from 1st April 1983, subsection (8) of section 114 of the Finance Act 1976 (transfers reported late) shall cease to have effect.

• (3) Subsection (1) above has effect in relation to any fraud, wilful default or neglect coming to the knowledge of the Board on or after 1st April 1983.

Recovery of tax

106

• (1) In Schedule 4 to the Finance Act 1975, after paragraph 22 there shall be inserted—

(22A) —In Scotland, tax and interest on tax may, without prejudice to any other remedy, and if the amount of the tax and interest does not exceed the sum for the time being specified in section 35(1)(a) of the Sheriff Courts (Scotland) Act 1971, be sued for and recovered in the sheriff court. (22B) An officer of the Board who is authorised by the Board to do so may address the court in any proceedings in a county court or sheriff court for the recovery of tax or interest on tax.

• (2) After paragraph 36 of that Schedule there shall be inserted—

(36A) In any proceedings for the recovery of tax or interest on tax, a certificate by an officer of the Board— (a) that the tax or interest is due, or (b) that, to the best of his knowledge and belief, it has not been paid, shall be sufficient evidence that the sum mentioned in the certificate is due or, as the case may be, unpaid; and a document purporting to be such a certificate shall be deemed to be such a certificate unless the contrary is proved.

Relief for stud farms

107

• (1) For the purposes of Schedule 14 to the Finance Act 1981 (capital transfer tax: relief for agricultural property) the breeding and rearing of horses on a stud farm and the grazing of horses in connection with those activities shall be taken to be agriculture and any buildings used in connection with those activities to be farm buildings.

• (2) In paragraph 12 of Schedule 10 to the Finance Act 1975 (farm cottages) the existing provisions shall become sub-paragraph (1) and at the end there shall be inserted—

(2) Expressions used in sub-paragraph (1) above and in Schedule 14 to the Finance Act 1981 have the same meaning in that sub-paragraph as in that Schedule.

• (3) In section 97 of the Finance Act 1981 (grant of tenancies of agricultural property) for subsection (2) there shall be substituted—

(2) Expressions used in subsection (1) above and in Schedule 14 to this Act have the same meaning in that subsection as in that Schedule.

• (4) This section has effect in relation to transfers of value and other events occurring on or after 10th March 1981.

Pre-consolidation amendments

108

Schedule 21 to this Act (which contains amendments designed to facilitate, or otherwise desirable in connection with, the consolidation of the law relating to capital transfer tax) shall have effect.

PART IV — STAMP DUTY

Reduction of duty on conveyances and transfers

109

Extension of stamp duty relief on sales at discount

110

• (1) Section 107 of the Finance Act 1981 (sales of houses at discount by local authorities etc.) shall be amended in accordance with the following provision of this section.

• (2) At the end of subsection (3) of that section (which lists the bodies a conveyance or transfer by which is affected by the section) there shall be added the following paragraph:—

(n) the United Kingdom Atomic Energy Authority

.

• (3) After subsection (3) of that section there shall be added the following subsection:—

(3A) This section also applies to any conveyance or transfer on sale of a dwelling house where the conveyance or transfer is made pursuant to a sub-sale made at a discount by a body falling within subsection (3)(f) above.

• (4) Subsections (2) and (3) above have effect with respect to instruments—

• (a) executed on or after 20th March 1984, or

• (b) executed on or after 13th March 1984 and stamped on or after 20th March 1984,

and, for the purposes of section 14(4) of the Stamp Act 1891 (instruments not to be given in evidence etc. unless stamped in accordance with the law in force at the time of first execution), the law in force at the time of execution of an instrument falling within paragraph (b) above shall be deemed to be that as varied in accordance with subsections (2) and (3) above.

• (5) With respect to instruments executed on or after the passing of this Act, at the end of subsection (3) of that section, and after the paragraph inserted by subsection (2) above, there shall be added the following paragraph:—

(o) such other body as the Treasury may, by order made by statutory instrument, prescribe for the purposes of this section

.

Agreements for leases

111

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) In any case where—

• (a) an interest in land is conveyed or transferred subject to an agreement for a lease or tack for a term exceeding 35 years, or

• (b) a lease or tack is granted subject to an agreement for a lease or tack for a term exceeding 35 years,

then, whether or not the conveyance, transfer, lease or tack is expressed to be so subject, it shall not be taken to be duly stamped unless there is denoted upon the conveyance, transfer, lease or tack the duty paid on the agreement; and section 11 of the Stamp Act 1891 shall have effect for this purpose as if the duty chargeable on the conveyance, transfer, lease or tack depended on the duty paid on the agreement.

• (3) For the purposes of subsection (2) above, an interest conveyed or transferred or, as the case may be, a lease or tack granted is not to be regarded as subject to an agreement for a lease or tack if that agreement is directly enforceable against another interest in the land in relation to which the interest conveyed or transferred or, as the case may be, the lease or tack granted is a superior interest.

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) This section applies to any agreement for a lease or tack entered into on or after 20th March 1984 and shall be deemed to have come into force on that date.

Sub-sales

112

• (1) In subsection (4) of section 58 of the Stamp Act 1891 (in case of a sub-sale to a single purchaser, duty chargeable only on consideration moving from the sub-purchaser) after the words “conveyed immediately to the sub-purchaser" there shall be inserted the words “then, except where—

• (a) the chargeable consideration moving from the sub-purchaser is less than the value of the property immediately before the contract of sale to him, and

• (b) the conveyance is not one to which section 107 of the Finance Act 1981 (sales of houses at discount by local authorities etc.) applies".

• (2) In subsection (5) of section 58 of the Stamp Act 1891 (in case of a sub-sale in parts or parcels to different sub-purchasers, each conveyance chargeable with duty only on consideration moving from the sub-purchaser) after the words “to different persons in parts or parcels" there shall be inserted the words “ then, except where the aggregate of the chargeable consideration for the sale of all such parts or parcels is less than the value of the whole of the property immediately before the contract for their sale or, as the case may be, the first contract for the sale of any of them ”.

• (3) At the end of the said section 58 there shall be inserted the following subsection:—

(7) Any reference in subsection (4) or subsection (5) of this section to chargeable consideration is a reference to consideration which falls to be brought into account in determining the duty (if any) chargeable on the conveyance to the sub-purchaser or, as the case may be, on the conveyance of each of the parts or parcels in question; and in any case where it is necessary for the purposes of either of those subsections to determine the value of any property, that value shall be determined as for the purposes of section 74 of the Finance (1909-10) Act 1910 (gifts inter vivos).

• (4) This section applies where the contract for the sub-sale or, as the case may be, the first contract for sub-sale of a part or parcel is entered into on or after 20th March 1984, and shall be deemed to have come into force on that date.

PART V — OIL TAXATION

Restriction on PRT reliefs

113

• (1) Subject to subsection (3) below, in determining whether any . . . expenditure is allowable in the case of a participator in an oil field under section 5 or section 5A or section 5B of the principal Act, no account shall be taken of any expenditure incurred before his qualifying date.

• (2) Subject to subsection (3) below, in determining whether any unrelievable field losses are allowable in the case of a participator in an oil field under section 6 of that Act, no account shall be taken of any allowable loss falling within subsection (1B) of that section unless the date on which the winning of oil from the abandoned field permanently ceased fell on or after his qualifying date.

• (3) Subsections (1) and (2) above do not apply in the case of a participator in an oil field if his qualifying date falls before 14th September 1983 or before the end of the first chargeable period in relation to the field.

• (4) In this section “qualifying date”, in relation to a participator in an oil field, means (subject to subsection (6) below)whichever of the following dates is applicable in his case or (if there is more than one) the earliest of them—

• (a) the date on which the participator first qualified in respect of any licensed area, being an area which is wholly or partly included in the field;

• (b) if the participator is a company, the date on which another company first satisfied both of the following conditions, that is to say—

• (i) it qualified in respect of any licensed area, being an area which is wholly or partly included in the field; and

• (ii) it was connected with the participator; and

• (c) if he is a participator in the field by reason of an arrangement between him and another company, being an arrangement to which paragraph 5 of Schedule 3 to the principal Act applies (transfer of rights etc. to associated company), the date on which the arrangement was made or, if later, the date on which that other company first qualified in respect of any licensed area, being an area which is wholly or partly included in the field.

• (5) For the purposes of subsection (4) above, a person qualifies in respect of a licensed area when, in respect of that area—

• (a) he is, or is one of those, entitled to the benefit of a licence, or

• (b) he enjoys rights under an agreement, being an agreement which has been approved by the Board and certified by the OGA to confer on him rights which are the same as, or similar to, those conferred by a licence.

• (6) Where (apart from this section) expenditure would be allowable under section 5 or section 5A or section 5B of the principal Act in the case of a participator in an oil field (in this subsection referred to as “the new participator") by virtue only of paragraphs 16 to 16B of Schedule 17 to the Finance Act 1980 (transfers of interests in oil fields) then, for the purpose of determining whether the expenditure is allowable in his case in accordance with this section, the date which was the qualifying date in relation to the old participator (within the meaning of that Schedule) , rather than the date given by subsection (4) above, shall be taken to be the qualifying date in relation to the new participator..

• (7) For the purposes of subsection (2) above the date on which the winning of oil from an oil field has permanently ceased is the date stated in a decision (whether of the Board or on appeal from the Board) under Schedule 8 to the principal Act to be that date.

• (8) For the purposes of this section, one company is connected with another if—

• (a) one is a 51 per cent. subsidiary of the other and the other is not a 51 per cent. subsidiary of any company; or

• (b) each of them is a 51 per cent. subsidiary of a third company which is not itself a 51 per cent. subsidiary of any company; and section Chapter 3 of Part 24 of the Corporation Tax Act 2010 (subsidiaries) applies for the purposes of this subsection.

• (9) In this section—

• (a) “company” means any body corporate; and

• (b) any reference to the winning of oil from an oil field permanently ceasing includes a reference to the permanent cessation of operations for the winning of oil from the field.

• (10) This section shall have effect in relation to any expenditure or losses in respect of which a claim is made after 13th September 1983.

Sales of gas: treatment of certain payments

114

• (1) This section applies only in relation to oil consisting of gas and references in the following provisions of this section to oil shall be construed accordingly.

• (2) In any case where, under a contract for the sale of oil won from an oil field, the consideration includes any sum—

• (a) which is payable by the buyer in respect of a quantity of oil to be delivered at a specified time or in a specified period, and

• (b) which is payable whether or not the buyer takes delivery of the whole of the oil at that time or in that period, and

• (c) which, in the event that the buyer does not take delivery of the whole of the oil, entitles the buyer to delivery of oil free of charge at a later time or in a later period,

then, to the extent that the sum is payable in respect of oil which is not delivered at the time or in the period in question, the sum shall be treated for the purposes of the principal Act as an advance payment for the oil to be delivered free of charge and, accordingly, that oil shall be treated for those purposes as sold for a price which (subject to any additional element arising under the following provisions of this section) is equal to that advance payment.

• (3) Where, in a case falling within subsection (2) above, an amount of oil is delivered free of charge in pursuance of the entitlement referred to in paragraph (c) of that subsection, the proportion of the advance payment referred to in that subsection which is to be attributed to that amount of oil shall be that which that amount of oil bears to the total quantity of oil of which the buyer is entitled to delivery free of charge by virtue of the payment of the sum in question.

• (4) In any case where—

• (a) by virtue of subsection (2) above a sum falls to any extent to be treated as an advance payment for oil to be delivered free of charge, but

• (b) at the latest date at which oil could be delivered free of charge in pursuance of the entitlement referred to in paragraph (c) of that subsection, the whole or any part of the oil to which that entitlement relates has not been so delivered,

then at that latest date, one tonne of oil shall be deemed to be delivered as mentioned in paragraph (b) above and so much of the advance payment as has not, under subsection (3) above, been attributed to oil actually delivered shall be attributed to that one tonne.

• (5) Where, under a contract for the sale of oil won from an oil field, the consideration includes any sums (in this section referred to as “capacity payments")—

• (a) which are payable by the buyer at specified times or in respect of specified periods, and

• (b) which, though they may vary in amount by reference to deliveries of oil or other factors, are payable whether or not oil is delivered under the contract at particular times or in particular periods, and

• (c) which do not, under the terms of the contract or by virtue of subsection (2) above, fall to be treated, in whole or in part, as advance payments for oil to be delivered at some time after the times or periods at or in respect of which the sums are payable,

then, in so far as they would not do so apart from this subsection, the capacity payments shall be treated for the purposes of the principal Act as an additional element of the price received or receivable for the oil sold under the contract.

• (6) For the purpose of determining, in a case where there are capacity payments under a contract for the sale of oil won from an oil field, the assessable profit or allowable loss accruing in a particular chargeable period to the participator by whom oil is sold under the contract, each capacity payment shall be treated as an additional element of the price received or receivable for the oil delivered by him under the contract in the chargeable period in which the capacity payment is paid or payable; and if no oil is in fact so delivered in a chargeable period in which a capacity payment is paid or payable, one tonne of oil shall be deemed to be so delivered in that period and, accordingly, the capacity payment shall be treated for the purposes of the principal Act as the price for which that tonne is sold.

• (7) If, by virtue of subsection (4) or subsection (6) above, one tonne of oil is deemed to be delivered in any chargeable period of the oil field referred to in subsection (2) or, as the case may be, subsection (5) above, a return for that period by the participator concerned under paragraph 2 of Schedule 2 to the principal Act shall give the like information in relation to that tonne as in relation to any other oil falling within sub-paragraph (2)(a) of that paragraph.

Information relating to sales at arm's length and market value of oil

115

• (1) The Board may, by notice in writing given to a company which is or has been a participator in an oil field, require that company to give to the Board, within such time (not being less than thirty days) as may be specified in the notice, such particulars (which may include details of relevant documents) as may be so specified of any related transaction which appears to the Board to be relevant for the purpose of—

• (a) determining whether a disposal of any oil is a sale at arm’s length, or

• (b) ascertaining the market value of any oil.

• (2) For the purposes of a notice under subsection (1) above a transaction is a related transaction if, but only if, it is one to which the company to whom the notice is given or a company associated with that company was a party; and for the purposes of this subsection two companies are associated with one another if—

• (a) one is under the control of the other; or

• (b) both are under the control of the same person or persons;

and in this subsection “control” has the meaning given by section 1124 of the Corporation Tax Act 2010 .

• (3) In any case where a company (in this subsection and subsection (4) below referred to as “the participator company") is or has been a participator in an oil field and—

• (a) the participator company is a 51 per cent. subsidiary of another company, or

• (b) another company is a 51 per cent. subsidiary of the participator company, or

• (c) the participator company and another company are both 51 per cent. subsidiaries of a third company,

the Board may, by notice in writing given to any company referred to in paragraphs (a) to (c) above which is resident in the United Kingdom, require it to make available for inspection any relevant books, accounts or other documents or records whatsoever of the company itself or, subject to subsection (5) below, of any other company which is its 51 per cent. subsidiary.

• (4) In subsection (3) above “relevant” means relating to any transaction which is relevant for the purpose of—

• (a) determining whether a disposal of any oil by the participator company is a sale at arm’s length; or

• (b) ascertaining the market value of oil won by the participator company.

• (5) In any case where—

• (a) under subsection (3) above a company is by notice required to make available for inspection any books, accounts, documents or records of one of its 51 per cent. subsidiaries which is resident outside the United Kingdom, and

• (b) it appears to the Board, on the application of the company, that the circumstances are such that the requirement ought not to have effect,

the Board shall direct that the company need not comply with the requirement.

• (6) If, on an application under subsection (5) above, the Board refuse to give a direction under that subsection, the company concerned may appeal, by notice in writing given to the Board within thirty days after the refusal, and, where such an appeal is notified to the tribunal, the tribunal , if satisfied that the requirement in question ought in the circumstances not to have effect, may determine accordingly.

• (6A) The provisions of paragraphs 14A to 14I of Schedule 2 to the principal Act shall apply to appeals under this paragraph subject to any necessary modifications.

• (7) In this section—

• “company” means any body corporate; and

• “51 per cent. subsidiary" shall be construed in accordance with Chapter 3 of Part 24 of the Corporation Tax Act 2010 (subsidiaries).

Offences relating to section 115

116

• (1) Where a company has been required by notice under subsection (1) or subsection (3) of section 115 above to give any particulars or, as the case may be, to make available for inspection any books, accounts, documents or records and fails to comply with the notice, the company shall be liable, subject to subsection (3) below—

• (a) to a penalty not exceeding £500; and

• (b) if the failure continues after it has been declared by the court or the tribunal before whom proceedings for the penalty have been commenced, to a further penalty not exceeding £100 for each day on which the failure so continues.

• (2) Where a company fraudulently or negligently furnishes, gives, produces or makes any incorrect information, document or record of a kind mentioned in subsection (1) or subsection (3) of section 115 above, the company shall be liable to a penalty not exceeding £2,500 or, in the case of fraud on its part, £5,000.

• (3) A company shall not be liable to any penalty incurred under subsection (1) above for failure to comply with a notice if the failure is remedied before proceedings for the recovery of the penalty are commenced.

• (4) In this section “company” has the same meaning as in section 115 above.

PART VI — MISCELLANEOUS AND SUPPLEMENTARY

National insurance surcharge

Abolition of national insurance surcharge

117

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Development land tax

Increase of exemption from õ0,000 to ÷5,000

118

Deferred liability

119

• (1) In section 19A of the Development Land Tax Act 1976 (which, in the case of certain deemed disposals before 1st April 1984, defers liability to tax in relation to development for the owner's use) the words " and before 1st April 1984 " shall be omitted.

• (2) In section 27 of that Act (deferred liability for tax) in subsection (2), at the beginning of paragraph (b) (1iability to arise at the time of the operative disposal) there shall be inserted the words " except as provided by subsection (2A) below ".

• (3) After subsection (2) of the said section 27 there shall be inserted the following subsection:—

(2A) If the operative disposal does not fall within the period of twelve years beginning on the date of the deemed disposal, any liability for development land tax on the accrued development value shall be extinguished with effect from the expiry of that period.

• (4) At the end of the said section 27 there shall be added the following subsection:—

(8) The extinguishment of any deferred liability for development land tax on the accrued development value shall not affect the operation of any enactment (whether passed before or after this Act) which, before the liability was extinguished, had effect in relation to that liability or the accrued development value.

• (5) In Schedule 8 to that Act, after paragraph 38 there shall be inserted the following paragraph:—

(38A) A person who becomes chargeable to development land tax by virtue of a disposal— (a) which is the operative disposal for the purposes of section 27 of this Act or which is a further disposal falling within subsection (5) of that section, and (b) of which he is not required to give notice by virtue of any of the preceding provisions of this Part of this Schedule, shall give notice of it to the Board not later than the end of the financial year following that in which the disposal occurred.

• (6) In that Schedule, in paragraph 41 (penalties) in sub-paragraph (1)(a), after the words " 35(1) or" there shall be inserted the words " paragraph 38A or ".

Extension of relief for Housing Corporation and registered housing associations

120

• (1) In section 26 of the Development Land Tax Act 1976 (provisions relating to the Housing Corporation and certain housing associations) in subsection (1) (exemption from tax on realised development value accruing on deemed disposals by approved co-operative housing associations and self-build societies) for paragraphs (a) and (b) there shall be substituted—

(a) the Housing Corporation, or (b) a registered housing association, or (c) an approved co-operative housing association not falling within paragraph (b) above, or (d) an unregistered self-build society

;

and for the words " by that association or society " there shall be substituted the words " by that body ".

• (2) In consequence of the amendments made by subsection (1) above, subsection (2) of the said section 26 (cases where tax liability was deferred) and, in subsection (3) of that section, the words " or subsection (2) " shall be omitted.

• (3) This section has effect with respect to deemed disposals on or after 13th March 1984.

Deduction of tax from consideration for disposals by non residents

121

• (1) Section 40 of the Development Land Tax Act 1976 (deduction on account of tax from consideration for disposals by non-residents) shall be amended in accordance with this section.

• (2) In subsection (1) the words " which, at that time, is development land " shall be omitted.

• (3) In subsection (2) (no deduction where consideration does not exceed £50,000) for " £50,000 " there shall be substituted " £75,000 or such other limit as may be specified by regulations under subsection (7) below ".

• (4) In subsection (3) (the amount of the deduction) for the words " one half " there shall be substituted the words " subject to any provision made by regulations under subsection (7) below, two fifths ".

• (5) In subsection (7) (regulations of the Board) in paragraph (b) after the word " vary " there shall be inserted the words " the limit in subsection (2) above or " and after the word " section " there shall be inserted the words " either generally or ".

• (6) Subsection (8) (meaning of " development land") shall be omitted.

• (7) Except in so far as relates to the making of regulations—

• (a) subsection (3) above has effect in relation to any disposal on or after 1st April 1984 ; and

• (b) the other provisions of this section have effect in relation to any disposal on or after 6th August 1984.

Operations relating to telecommunications

122

In section 47 of the Development Land Tax Act 1976 (interpretation) in subsection (1A) (which was inserted by section 14 of the Finance (No. 2) Act 1983 and provides that " developmedoes not include certain operations relating to telecommunications which are begun on or before 31st December 1984) the words " are begun on or before 31st December 1984 and " shall be omitted.nt "

Payment by instalments and postponement

123

• (1) For the purpose of extending the period during which development land tax may, in certain cases, be paid by instalments from eight to ten years and of restricting those instalments to annual instalments, the following amendments shall be made in Schedule 8 to the Development Land Tax Act 1976—

• (a) the word " ten" shall be substituted for the word " eight " , in each of paragraphs 45(5) and (7)(b) and 50(1) and (4), and for the words from " eight" onwards in paragraph 45(2)(b);

• (b) in paragraph 45(3)(c), for the word " nine " there shall be substituted the word " eleven " ; and

• (c) in paragraph 44(1) for the words from " instalments " onwards there shall be inserted the words " yearly instalments ".

• (2) In section 114(6)(b) of the Finance Act 1980 (application of paragraph 45 of Schedule 8 to the Act of 1976 in relation to advance assessment of tax on deemed disposals), for the words from " nine years " onwards there shall be substituted the words " ' eleven years ' there were substituted the words ' ten years' ".

• (3) In paragraph 52 of Schedule 8 to the Act of 1976 (postponement of tax on incorporation disposal), in sub-paragraphs (4) and (6) for the word " eight" there shall be substituted the word " ten ".

• (4) In section 86A of the Taxes Management Act 1970 (interest on development land tax unpaid on reckonable date)—

• (a) in subsection (1), for the words " and (3)" there shall be substituted the words " (3) and (3A) "; and

• (b) after subsection (3) there shall be inserted the following subsection—

(3A) Subsection (1) above shall have effect, in relation to any tax postponed under paragraph 52 of Schedule 8 to the Act of 1976 (postponement on incorporation disposal) as if the reference to the reckonable date were a reference to the date determined in accordance with sub-paragraphs (4) to (6) of paragraph 52.

• (5) This section has effect in relation to disposals made, and events occurring, on or after 6th August 1983 ; but where, in relation to any such disposal made, or event occurring, before the commencement of this section a person has duly elected to pay development land tax by half-yearly instalments he shall be entitled to continue to pay by such instalments and the Act of 1976 shall have effect accordingly.

Miscellaneous

Recovery of certain tax assessed on non-residents

124

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Local loans

125

• (1) For section 4 of the National Loans Act 1968 (power to make local loans) there shall be substituted the following section—

(4) (1) The aggregate of— (a) any commitments of the Loan Commissioners outstanding in respect of undertakings entered into by them to grant local loans; and (b) any amount outstanding in respect of the principal of any local loans; shall not at any time exceed £28,000 million or such other (lower or higher) sum, not exceeding £35,000 million, as the Treasury may from time to time specify by order made by statutory instrument. (2) No order shall be made under this section unless a draft of it has been laid before and approved by a resolution of the Commons House of Parliament.

• (2) In section 3 of that Act—

• (a) in subsection (5), the words from “and" to “future Act" shall be omitted; and

• (b) in subsection (11), for the words from the beginning to “those" there shall be substituted the words “ Subject to the limit in this Act, the Loan Commissioners may make loans of the descriptions ”.

Tax exemptions in relation to designated international organisations

126

• (1) Where—

• (a) the United Kingdom or any of the European Union is a member of an international organisation; and

• (b) the agreement under which it became a member provides for exemption from tax, in relation to the organisation, of the kind for which provision is made by this section; the Treasury may, by order made by statutory instrument, designate that organisation for the purposes of this section.

• (2) Where an organisation has been so designated, the provisions mentioned in subsection (3) below shall, with the exception of any which may be excluded by the designation order, apply in relation to that organisation.

• (3) The provisions are—

• (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (b) any security issued by the organisation shall be taken, for the purposes of capital transfer tax . . ., to be situated outside the United Kingdom; and

• (c) no stamp duty shall be chargeable under Schedule 15 to the Finance Act 1999 (bearer instruments)in Schedule 1 to the Stamp Act 1891 ... on the transfer of the stock constituted by, or transferable by means of, any instrument issued by the organisation.

• (d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) The Treasury may, by order made by statutory instrument, designate any of the European Union or the European Investment Bank for the purposes of this section, and references in subsections (2) and (3) above to an organisation designated for the purposes of this section include references to a body so designated by virtue of this subsection.

• (5) Subsection (3) above, as it applies by virtue of subsection (4) above, shall be read as if the words Schedule 15 to the Finance Act 1999 (bearer instruments) were omitted

Special and General Commissioners

127

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Short title, interpretation, construction and repeals

128

• (1) This Act may be cited as the Finance Act 1984.

• (2) In this Act “the Taxes Act” means the Income and Corporation Taxes Act 1970 and “the Taxes Act 1988” means the Income and Corporation Taxes Act 1988.

• (3) Part II of this Act, so far as it relates to income tax, shall be construed as one with the Income Tax Acts, so far as it relates to corporation tax, shall be construed as one with the Corporation Tax Acts and, so far as it relates to capital gains tax, shall be construed as one with the Capital Gains Tax Act 1979.

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) Part V of this Act shall be construed as one with Part I of the Oil Taxation Act 1975 and references in Part V of this Act to the principal Act are references to that Act.

• (6) The enactments specified in Schedule 23 to this Act are hereby repealed to the extent specified in the third column of that Schedule, but subject to any provision at the end of any Part of that Schedule.

SCHEDULE 1

Interpretation

1

• (1) Subject to sub-paragraph (3) below, for the purposes of this Act, wine or made-wine which is for the time being in a closed container is sparkling if, due to the presence of carbon dioxide or any other gas, the pressure in the container, measured at a temperature of 20° C, is not less than 1 bar in excess of atmospheric pressure.

• (2) For the purposes of this Act, wine or made-wine which is not for the time being in a closed container is sparkling if it has characteristics similar to those of wine or made-wine which has been removed from a closed container and which, before removal, fell within sub-paragraph (1) above.

• (3) Notwithstanding anything in sub-paragraph (1) above, wine or made-wine which is for the time being in a closed container shall not be regarded as sparkling for the purposes of the rates of duty set out above, if—

• (a) the container does not have a mushroom-shaped stopper (whether solid or hollow) held in place by a tie or fastening; and

• (b) the pressure in the container, measured at a temperature of 20° C, is less than 3 bars in excess of atmospheric pressure.

2

For the purposes of this Act, wine or made-wine shall be regarded as having been rendered sparkling if—

• (a) as a result of aeration, fermentation or any other process, it either falls within paragarph 1(1) above or takes on such characteristics as are referred to in paragraph 1(2) above; or

• (b) being sparkling wine or made-wine which, by virtue only of 1(3) above, was not chargeable to duty as sparkling wine or made-wine, it is transferred into a closed container which has a mushroom-shaped stopper (whether solid or hollow) held in place by a tie or fastening.

SCHEDULE 2

Part I

1

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2

The following are the provisions substituted in the Act of 1971 and the Act of 1972 for Part II of Schedule 2—

Description of vehicle	Rate of duty
	£
Hackney carriages	45.00
	with an additional 90p for each person above 20 (excluding the driver) for which the vehicle has seating capacity.

3

The following are the provisions substituted in the Act of 1971 and the Act of 1972 for Part II of Schedule 3—

Weight unladen of vehicle	Weight unladen of vehicle	Rate of duty	Rate of duty	Rate of duty
1.	2.	3.	4.	5.
Description of vehicle	Exceeding	Not exceeding	Initial	Additional for each ton or part of a ton in excess of the weight in column 2
			£	£
1. Agricultural machines; digging machines; mobile cranes; works trucks; mowing machines; fishermen's tractors.	—	—	15.00	—
2. Haulage vehicles, being showmen's vehicles.	—	7 1/4 tons	144.00	—
2. Haulage vehicles, being showmen's vehicles.	7 1/4 tons	8 tons	172.00	—
2. Haulage vehicles, being showmen's vehicles.	8 tons	10 tons	203.00	—
2. Haulage vehicles, being showmen's vehicles.	10 tons	—	203.00	31.00
3. Haulage vehicles, not being showmen's vehicles.	—	2 tons	171.00
3. Haulage vehicles, not being showmen's vehicles.	2 tons	4 tons	308.00	—
3. Haulage vehicles, not being showmen's vehicles.	4 tons	6 tons	445.00	—
3. Haulage vehicles, not being showmen's vehicles.	6 tons	7 1/4 tons	581.00	—
3. Haulage vehicles, not being showmen's vehicles.	7 1/4 tons	8 tons	710.00	—
3. Haulage vehicles, not being showmen's vehicles.	8 tons	9 tons	831.00	—
3. Haulage vehicles, not being showmen's vehicles.	9 tons	10 tons	951.00	—
3. Haulage vehicles, not being showmen's vehicles.	10 tons	11 tons	1,088.00	—
3. Haulage vehicles, not being showmen's vehicles.	11 tons	—	1,088.00	136.00

4

The following are the provisions substituted in the Act of 1971 and the Act of 1972 for Part II of Schedule 4—

Plated gross weight of vehicle	Plated gross weight of vehicle	Rate of duty	Rate of duty	Rate of duty
1.	2.	3.	4.	5.
Exceeding	Not exceeding	Two axle vehicle	Three axle vehicle	Four or more axle vehicle
tonnes	tonnes	£	£	£
12	13	410	320	320
13	14	530	340	340
14	15	640	340	340
15	17	850	340	340
17	19	—	460	340
19	21	—	610	340
21	23	—	780	490
23	25	—	1,250	690
25	27	—	—	930
27	29	—	—	1,200
29	30.49	—	—	2,100
Plated gross weight of vehicle	Plated gross weight of vehicle	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	Two axle vehicle	Three axle vehicle	Four or more axle vehicle
tonnes	tonnes	£	£	£
12	13	140	125	125
13	14	150	125	125
14	15	155	125	125
15	17	195	135	125
17	19	—	145	125
19	21	—	160	135
21	23	—	170	145
23	25	—	230	160
25	27	—	—	190
27	29	—	—	225
29	30.49	—	—	360
Plated gross weight of vehicle	Plated gross weight of vehicle	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	Two axle vehicle	Three axle vehicle	Four or more axle vehicle
tonnes	tonnes	£	£	£
12	13	140	125	125
13	14	150	125	125
14	15	155	125	125
15	17	195	135	125
17	19	—	145	130
19	21	—	170	145
21	23	—	185	170
23	25	—	270	190
25	27	—	—	230
27	29	—	—	280
29	30.49	—	—	455
Gross weight of trailer	Gross weight of trailer	Duty supplement
---	---	---
Exceeding	Not exceeding	Duty supplement
tonnes	tonnes	£
4	8	75
8	10	95
10	12	120
12	14	170
14	—	330
Gross weight of trailer	Gross weight of trailer	Duty supplement
---	---	---
Exceeding	Not exceeding	Duty supplement
tonnes	tonnes	£
4	8	75
8	10	95
10	12	120
12	14	170
14	—	330
Gross weight of trailer	Gross weight of trailer	Duty supplement
---	---	---
Exceeding	Not exceeding	Duty supplement
		tonnes
—	—	75
Plated train weight of tractor unit	Plated train weight of tractor unit	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	For a tractor unit to be used with semi-trailers with any number of axles	For a tractor unit to be used only with semi-trailers with not less than two axles	For a tractor unit to be used only with semi-trailers with not less than three axles
tonnes	tonnes	£	£	£
12	14	470	420	420
14	16	590	440	440
16	18	690	440	440
18	20	810	440	440
20	22	940	550	440
22	23	1,000	620	440
23	25	1,150	780	440
25	26	1,150	870	530
26	28	1,150	1,090	720
28	29	1,210	1,210	820
29	31	1,680	1,680	1,050
31	33	2.450	2,450	1,680
33	34	2,450	2,450	2,250
34	36	2,750	2,750	2,750
36	38	3,100	3,100	3,100
Plated train weight of tractor unit	Plated train weight of tractor unit	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	For a tractor unit to be used with semi-trailers with any number of axles	For a tractor unit to be used only with semi-trailers with not less than two axles	For a tractor unit to be used only with semi-trailers with not less than three axles
tonnes	tonnes	£	£	£
12	14	145	140	140
14	16	160	140	140
16	18	170	140	140
18	20	175	140	140
20	22	185	145	140
22	23	190	155	140
23	25	210	165	145
25	26	210	170	155
26	28	210	190	175
28	29	210	205	185
29	31	280	280	220
31	33	395	395	320
33	34	750	750	750
34	36	905	905	905
36	38	1,020	1,020	1,020
Plated train weight of tractor unit	Plated train weight of tractor unit	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	For a tractor unit to be used with semi-trailers with any number of axles	For a tractor unit to be used only with semi-trailers with not less than two axles	For a tractor unit to be used only with semi-trailers with not less than three axles
tonnes	tonnes	£	£	£
12	14	145	140	140
14	16	160	140	140
16	18	170	140	140
18	20	180	155	155
20	22	205	165	165
22	23	220	170	170
23	25	250	190	175
25	26	250	205	185
26	28	250	240	215
28	29	260	260	230
29	31	355	355	275
31	33	495	495	405
33	34	925	925	925
34	36	1,125	1,125	1,125
36	38	1,265	1,265	1,265
Plated train weight of tractor unit	Plated train weight of tractor unit	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	For a tractor unit to be used with semi-trailers with any number of axles	For a tractor unit to be used only with semi-trailers with not less than two axles	For a tractor unit to be used only with semi-trailers with not less than three axles
tonnes	tonnes	£	£	£
12	14	420	420	420
54	20	440	440	440
20	22	550	440	440
22	23	620	440	440
23	25	780	440	440
25	26	870	440	440
26	28	1,090	440	440
28	29	1,210	520	440
29	31	1.680	640	440
31	33	2,450	970	440
33	34	2,450	1,420	550
34	36	2,450	2,030	830
36	38	2,730	2,730	1,240
Plated train weight of tractor unit	Plated train weight of tractor unit	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	For a tractor unit to be used with semi-trailers with any number of axles	For a tractor unit to be used only with semi-trailers with not less than two axles	For a tractor unit to be used only with semi-trailers with not less than three axles
tonnes	tonnes	£	£	£
12	20	140	140	140
20	22	145	140	140
22	23	150	140	140
23	25	165	140	140
25	26	170	145	140
26	23	190	170	155
28	29	205	180	165
29	31	280	215	195
31	33	395	315	230
33	34	470	470	285
34	36	670	670	430
36	38	900	900	650
Plated train weight of tractor unit	Plated train weight of tractor unit	Rate of duty	Rate of duty	Rate of duty
---	---	---	---	---
1.	2.	3.	4.	5.
Exceeding	Not exceeding	For a tractor unit to be used with semi-trailers with any number of axles	For a tractor unit to be used only with semi-trailers with not less than two axles	For a tractor unit to be used only with semi-trailers with not less than three axles
tonnes	tonnes	£	£	£
12	18	140	140	140
18	20	145	145	140
20	22	165	160	140
22	23	170	165	140
23	25	190	170	155
25	26	205	180	165
26	28	240	210	180
28	29	260	225	200
29	31	355	270	240
31	33	495	395	290
33	34	580	580	355
34	36	830	830	540
36	38	1,115	1,115	805

5

The following are the provisions substituted in the Act of 1971 and the Act of 1972 for Part II of Schedule 5—

Description of vehicle	Rate of duty
	£
1. Any vehicle first registered under the Roads Act 1920 before 1st January 1947, or which, if its first registration for taxation purposes had been effected in Northern Ireland, would have been so first registered under the Act as in force in Northern Ireland	60.00
2. Other vehicles	90.00

Part II — Amendment of Part I of Schedule 4 to the Vehicles (Excise) Act 1971 and the Vehicles (Excise) Act (Northern Ireland) 1972

Amendments made in both Acts

6

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 3

Part I — Special Licences and Staggered Starting Dates for Whole-Year Licences in Respect of Premises

1

The Betting and Gaming Duties Act 1981 shall be amended as follows.

2

For section 21 there shall be substituted—

(21) (1) Except in the cases specified in Part I of Schedule 4 to this Act, no gaming machine (other than a two-penny machine) shall be provided for gaming on any premises situated in Great Britain unless there is for the time being in force— (a) a licence granted under this Part of this Act with respect to the premises; or (b) a licence so granted with respect to the machine. (2) A licence of either kind granted under this Part of this Act shall be known as a gaming machine licence; and in this Part “ordinary licence” means a licence falling within subsection (1)(a) above and “special licence” means one falling within subsection (1)(b). (3) A special licence may be a whole-year or half-year licence and an ordinary licence may be a whole-year, half-year or quarter-year licence; and the period for which a gaming machine licence is to be granted shall be determined by reference to the following Table.

Type of licence	Period for which licence is to be granted
1. Whole-year special licence	Twelve months beginning with 1st October.
2. Half-year special licence	Six months beginning with 1st April or 1st October.
3. Whole-year ordinary licence in respect of premises situation in—
(a) The first region	Twelve months beginning with 1st December.
(b) The second region	Twelve months beginning with 1st February.
(c) The third region	Twelve months beginning with 1st June.
(d) The fourth region	Twelve months beginning with 1st August.
4. Half-year ordinary licence	Six months beginning with 1st April or 1st October.
5. Quarter-year ordinary licence	Three months beginning with 1st January, 1st April, 1st July or 1st October.

In this Table any reference to a named region is a reference to that part of Great Britain which has been designated by the Commissioners, for the purposes of this Act, as that named region.

(4) For the purposes of this Part of this Act, any premises which consist of a means of transport shall be treated as being situated in the fourth region except in any case where the Commissioners direct that they are to be treated as being situated in another named region.

.

3

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

6

In section 24—

• (a) subsection (1) shall cease to have effect;

• (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (e) in subsections (5) and (6), in each case after the words “contravention of" there shall be inserted “ section 21(1) above or ”; and

• (f) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7

• (1) Part II of Schedule 4 shall be amended as follows.

• (2) In paragraphs 6 and 8(2), the words “in respect of any premises" shall, in each case, be omitted.

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (8) In sub-paragraph (3) of paragraph 11 for the words “Sub-paragraph (2)" there shall be substituted “ Sub-paragraph (1) ” and for the words “that section" there shall be substituted the words “ section 21(1) or 24 of this Act ”.

• (9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (12) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (13) In paragraph 18, for the words from “either" to the end of paragraph (b) there shall be substituted “the officer is satisfied, having regard to the number and description of—

• (a) those machines which are authorised by the ordinary licence or licences produced to him; and

• (b) those machines displaying special licences;

that there has been a contravention of section 21(1) or 24 of this Act,".

Part II — Transitional Provisions

Whole-year licences during transitional period

8

• (1) A whole-year ordinary licence in respect of any premises shall, if first having effect after 30th September 1984 but before the latest date specified (in relation to the region in which the premises are situated) in the second column of the following Table, be granted for a period determined by reference to the Table.