Individuals receiving capital sums as a result of transfer of assets abroad
E1.1112 Transfer of assets abroad—the charge under ITA 2007, s 727
The stated purpose of ITA 2007, s 727 is exactly the same as for ITA 2007, s 720 at E1.1103, ie to prevent the avoiding of liability to income tax by individuals resident in the UK by means of relevant transfers1. In this case, however, it does so by charging tax on income treated as arising to an individual by virtue of his receiving a capital sum by virtue of relevant transfers and / or associated operations. 'Relevant transfers' and 'associated operations' have the same meaning as in, respectively, E1.1103 and E1.1104.
The charge under ITA 2007, s 727 is completely separate to, and operates independently of, the charge under ITA 2007, s 720. For the charge under ITA 2007, s 727 to apply, there is no requirement that the individual in question has power to enjoy income of the person
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