Life Assurance Companies
Additionally, there are special rules that apply to life assurance companies from which life assurance business is transferred under an insurance business transfer scheme. Different rules apply depending on whether section 444AA of the Income and Corporation Taxes Act 1988 applies. For transfers before 1 January 2007, s444AA applies where the whole of the transferor's long-term insurance business is being transferred and the company. It is proposed that the Finance Bill 2007 will amend this for transfers on or after 1 January, so that section 444AA applies where the whole or substantially the whole of the transferor's long-term insurance business is transferred, in which case the transfer time is taken to be the time some business is first transferred/
If section 444AA does not apply, an accounting period of the transferor company ends with the day of the transfer.
If section 444AA applies, an accounting period of the transferor company ends immediately before the transfer, and the transferor also has an accounting period covering the instant of the transfer (except for the purposes of calculating the equalisation provision for tax purposes).
Read more about this topic: Accounting Period (UK Taxation)
Famous quotes containing the words life, assurance and/or companies:
“Yet now farewell, and farewell life with thee!”
—William Shakespeare (1564–1616)
“Let no one presume to give the feelings of a young woman on receiving the assurance of that affection of which she has scarcely allowed herself to entertain a hope.”
—Jane Austen (1775–1817)
“In the U.S. for instance, the value of a homemaker’s productive work has been imputed mostly when she was maimed or killed and insurance companies and/or the courts had to calculate the amount to pay her family in damages. Even at that, the rates were mostly pink collar and the big number was attributed to the husband’s pain and suffering.”
—Gloria Steinem (20th century)