What did section 117A of the Taxation of Chargeable Gains Act 1992 cover?

Section 117A dealt with the treatment of certain assets that did not meet the definition of qualifying corporate bonds for corporation tax purposes. It set out specific rules for how chargeable gains on such assets were treated within the corporation tax regime before its repeal.

When was section 117A of TCGA 1992 repealed and by which legislation?

Section 117A was repealed by the Finance Act 2002, specifically section 141 and Schedule 40, Part 3, paragraph 10. The repeal took effect for accounting periods beginning on or after 1 October 2002. For straddling periods, the old rules may have applied up to that date.

Does section 117A still apply to current corporation tax computations in the United Kingdom?

No, section 117A has no relevance for current corporation tax computations. It is only of historical relevance for accounting periods before 1 October 2002. Gains or losses on affected assets are now dealt with under the reformed loan relationships and derivative contracts rules introduced by the Finance Act 2002.

What replaced the rules previously contained in section 117A of TCGA 1992?

The Finance Act 2002 introduced a broader overhaul of the loan relationships and derivative contracts rules, which replaced the treatment previously governed by section 117A. Corporate bonds and similar debt instruments for chargeable gains purposes within corporation tax are now dealt with under these reformed provisions.

Taxation of Chargeable Gains Act 1992 section 117A

Assets that are not qualifying corporate bonds for corporation tax purposes

Section 117A dealt with the treatment of certain assets that did not meet the definition of qualifying corporate bonds for corporation tax purposes, but this section has been repealed and is no longer in force.

Section 117A previously addressed assets falling outside the qualifying corporate bond definition for corporation tax
The section was repealed by Finance Act 2002, section 141 and Schedule 40, Part 3, paragraph 10
The repeal took effect for accounting periods beginning on or after 1 October 2002
For any accounting periods that straddled 1 October 2002, the old rules may have continued to apply up to that date

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