Commentary

E1.453A Life insurance gains—events treated as part surrenders

Personal and employment tax

E1.453A Life insurance gains—events treated as part surrenders

E1.453A Life insurance gains—events treated as part surrenders

The following are treated as part surrenders1:

  1.  

    •     a sum falling due under a right to participate in profits where further rights remain

  2.  

    •     taking a capital sum provided under a life annuity contract

  3.  

    •     certain payments by the insurer under a guaranteed income bond (see E1.453B)

Loans

A loan made by the insurer to a policy or contract holder is treated as a part surrender if it represents a profit which would give rise to liability under these rules. Such a loan will be made by arrangement with and at the direction

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to TolleyLibrary or register for a free trial