LegalizeThe Special Annual Allowance Charge (Variation of Rate) Order 2010
Made: 2nd March 2010
Coming into force: 3rd March 2010
In accordance with paragraph 19(5) of that Schedule, a draft of this instrument was laid before the House of Commons and approved by a resolution of that House.
Citation and commencement
1
This Order may be cited as the Special Annual Allowance Charge (Variation of Rate) Order 2010 and shall have effect for the tax year 2010-11 and subsequent tax years.
Amendment of paragraph 1(8) of Schedule 35 to the Finance Act 2009
2
In paragraph 1(8) of Schedule 35 to the Finance Act 2009 (pensions: special annual allowance charge), for “rate of 20%” substitute “appropriate rate” and insert at the end—
For this purpose “the appropriate rate” is— (a) 0% in relation to so much (if any) of the chargeable amount as, when added to the reduced net income amount, does not exceed the basic rate limit, (b) 20% in relation to so much (if any) of the chargeable amount, as when so added, exceeds the basic rate limit but does not exceed the higher rate limit, and (c) 30% in relation to so much (if any) of the chargeable amount as, when so added, exceeds the higher rate limit. In this sub-paragraph— - “chargeable amount” means the amount in respect of which the special annual allowance charge is charged, and - “the reduced net income amount” means the amount after taking step 3 in section 23 of ITA 2007 in the case of the individual for the tax year.
Signed
Frank Roy — Tony Cunningham — Two of the Lords Commissioners of Her Majesty’s Treasury — 2nd March 2010
Explanatory note
(This note is not part of the Order)
EXPLANATORY NOTE
This Order amends paragraph 1(8) of Schedule 35 to the Finance Act 2009 which sets the rate of the special annual allowance charge. The rate of the special annual allowance charge is amended for the tax year 2010-11 and subsequent tax years.
A full and final impact assessment has not been published for this instrument as a negligible impact on the private or voluntary sectors is foreseen.
Footnotes
[^f00001]: 2009 c. 10.
Reading this document does not replace reading the official text published on legislation.gov.uk. Contains public sector information licensed under the Open Government Licence v3.0. We assume no responsibility for any inaccuracies arising from the conversion of the original CLML XML to this format.
This text is published under legislation.gov.uk's own terms of reuse, not a Legalize or public-domain licence.
legislation.gov.uk
Open Government Licence v3.0 (attribution required)
© Crown and database right. Derived from content available under the Open Government Licence v3.0 from legislation.gov.uk.