HC Deb 25 March 1968 vol 761 cc1068-9

That—

  1. (a) for the year 1967–68 and subsequent years of assessment—
    1. (i) relief under section 219 of the Income Tax Act 1952 in respect of premiums under policies of life insurance may, in the case of insurances made after 19th March 1968, be restricted to premiums under policies complying with certain conditions, and
    2. (ii) restrictions may be imposed on the operation of section 241(3)(d) of the said Act (surtax deduction permissible in respect of interest on money borrowed to pay premiums if premiums in each year not greater than one-eighth of sum payable on death) in relation to interest and other payments on money borrowed after the said 19th March, and
  2. (b) for the year 1968–69 and subsequent years of assessment, provision may be made for charging to surtax, and to tax under section 77 of the Finance Act 1965 (shortfall in distributions of close company), the amount of any gain falling to be treated for the purposes of that provision as arising in connection with any policy of life insurance issued in respect of an insurance made after the said 19th March, any contract for a life annuity entered into after that date or any capital redemption policy effected after that date ("life annuity" having here the same meaning as in section 27 of the Finance Act 1956, and "capital 1069 redemption policy" meaning any insurance effected in the course of a capital redemption business as defined in section 431 of the said Act of 1952).—[Mr. Roy Jenkins.]

put forthwith pursuant to Standing Order No. 90(2) (Ways and Means motions), and agreed to.