Income Tax (Trading and Other Income) Act 2005 section 692

Income from savings certificates

Section 692 provides an income tax exemption for income arising from authorised savings certificates, provided the holder's acquisition was within the limits set by Treasury regulations.

• Income from authorised savings certificates is completely exempt from income tax, whether that income takes the form of interest or profit from deeply discounted securities
• A savings certificate is authorised only to the extent that its acquisition did not breach Treasury regulations limiting a person's maximum holding
• Savings certificates are defined by the legislation under which they were issued, including the National Loans Act 1968, the National Debt Act 1958, FA 1920, and equivalent Northern Ireland enactments, as well as war savings certificates under the National Debt Act 1972
• Ulster Savings Certificates are specifically excluded from this exemption and are instead subject to separate rules set out in section 693