Finance Act 2008

Sections and provisions with full text and the judgments that cite each one.

Section 1 — Charge and main rates for 2008-09

Charge and main rates for 2008-09 1 1 Income tax is charged for the tax year 2008-09. 2 For that tax year— a the basic rate is 20%, and b the higher rate is 40%.

Section 1M

1M For the purposes of paragraph 1J, a vehicle to which this Part of this Schedule applies is a “post-2008 lower-emission van” if— a the vehicle is first registered on or after 1 January 2009 and…

Section 2 — Personal allowance for those aged under 65

Personal allowance for those aged under 65 2 1 For the tax year 2008-09 the amount specified in— a section 35 of ITA 2007, ... b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .…

Section 2A

2A 1 This paragraph applies if— a a current participator (“ the defaulter ”) has defaulted on a liability under— i a relevant agreement, or ii an abandonment programme, to make a payment towards…

2B 1 No amount is to be attributed to a contributing participator under paragraph 2A(2) unless the following conditions are all met. 2 The first condition is that the contributing participator is not…

Section 2C

2C 1 An amount attributed under paragraph 2A(2) is— a in the case of a current participator, to be an addition to the share of the abandonment expenditure referable to the current participator's…

Section 3 — Personal allowances for those aged 65 and over

Personal allowances for those aged 65 and over 3 1 For the tax year 2008-09— a the amount specified in section 36(1) of ITA 2007 ... (personal allowance for those aged 65 to 74) is replaced with “…

Section 4 — Basic rate limit

Basic rate limit 4 1 In section 10 of ITA 2007 (income charged at main rates: individuals), for subsection (5) substitute— 5 The basic rate limit is £34,800. 2 The amendment made by subsection (1)…

Section 4ZA — Group relief not withdrawn where vendor leaves group

Group relief not withdrawn where vendor leaves group 4ZA 1 Group relief is not withdrawn under paragraph 3 where the purchaser ceases to be a member of the same group as the vendor because the vendor…

Section 4B — Shared ownership lease: grant not linked with staircasing transactions etc

Shared ownership lease: grant not linked with staircasing transactions etc 4B 1 For the purpose of determining the rate of tax chargeable on the grant of a shared ownership lease of a dwelling, the…

Section 5 — Abolition of starting and savings rates and creation of starting rate for savings

Abolition of starting and savings rates and creation of starting rate for savings 5 1 Section 6 of ITA 2007 (rates at which income tax is charged) is amended as follows. 2 In subsection (1), omit…

Section 6 — Charge and main rates for financial year 2009

Charge and main rates for financial year 2009 6 1 Corporation tax is charged for the financial year 2009. 2 For that year the rate of corporation tax is— a 28% on profits of companies other than ring…

Section 7 — Small companies' rates and fractions for financial year 2008 etc

Small companies' rates and fractions for financial year 2008 etc 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 8 — Rate etc

Rate etc 8 1 In TCGA 1992, for section 4 substitute— Rate of capital gains tax 4 The rate of capital gains tax is 18%. 2 Schedule 2 contains further provision for and in connection with the reform of…

Section 8A — Transfer of unused nil-rate band between spouses and civil partners

Transfer of unused nil-rate band between spouses and civil partners 8A 1 This section applies where— a immediately before the death of a person (a “deceased person”), the deceased person had a spouse…

Section 8B — Claims under section 8A

Claims under section 8A 8B 1 A claim under section 8A above may be made— a by the personal representatives of the survivor within the permitted period, or b (if no claim is so made) by any other…

Section 8C — Section 8A and subsequent charges

Section 8A and subsequent charges 8C 1 This section applies where— a the conditions in subsection (1)(a) and (b) of section 8A above are met, and b after the death of the deceased person, tax is…

Section 9 — Entrepreneurs' relief

Entrepreneurs' relief 9 Schedule 3 contains provision for and in connection with entrepreneurs' relief.

Section 9A — Tax chargeable in respect of consideration other than rent: 0% band

Tax chargeable in respect of consideration other than rent: 0% band 9A 1 This paragraph applies in the case of a transaction to which this Schedule applies where there is chargeable consideration…

Section 10 — Transfer of unused nil-rate band etc

Transfer of unused nil-rate band etc 10 Schedule 4 contains provisions about the transfer of unused nil-rate band between spouses and civil partners for the purposes of the charge to inheritance tax…

Section 11 — Rates of alcoholic liquor duty

Rates of alcoholic liquor duty 11 1 ALDA 1979 is amended as follows. 2 In section 5 (rate of duty on spirits), for “£19.56” substitute “ £21.35 ” . 3 In section 36(1AA)(a) (standard rate of duty on…

Section 12 — Rates of tobacco products duty

Rates of tobacco products duty 12 1 For the table in Schedule 1 to TPDA 1979 substitute— Table 1. Cigarettes An amount equal to 22 per cent of the retail price plus £112.07 per thousand cigarettes 2.…

Section 12A — The number of employees requirement

The number of employees requirement 12A 1 The number of employees requirement in the case of a single company is that the full-time equivalent employee number for it is less than 250. 2 The number of…

Section 13 — Rates and rebates: simplification

Rates and rebates: simplification 13 1 HODA 1979 is amended as follows. 2 In section 1 (hydrocarbon oil), omit— a subsections (3A) and (3B), b in subsection (3C), “; and petrol is “leaded petrol” if…

Section 13ZA — Rebate on certain heavy oil used for heating etc

Rebate on certain heavy oil used for heating etc 13ZA 1 This section applies if, on the delivery of heavy oil (other than kerosene) upon which rebate at the rate mentioned in section 11(1)(c) would…

Section 13ZB — Restrictions on supply of certain heavy oil for heating etc

Restrictions on supply of certain heavy oil for heating etc 13ZB 1 If a person supplies relevant heavy oil, having reason to believe that it will be put to a particular use that is a prohibited use—…

Section 13AC — Use of rebated kerosene for private pleasure-flying

Use of rebated kerosene for private pleasure-flying 13AC 1 This section applies in respect of kerosene upon which a rebate under section 11(1)(c) has been allowed. 2 The kerosene must not be used as…

Section 13AD — Penalties for contravention of section 13AC

Penalties for contravention of section 13AC 13AD 1 This section applies if a person— a uses a quantity of kerosene in contravention of section 13AC(2), or b fails to comply with section 13AC(3)(b). 2…

Section 14 — Biodiesel and bioblend

Biodiesel and bioblend 14 Schedule 5 contains provision about biodiesel and bioblend.

Section 14A — Rebate on biodiesel used other than as fuel for road vehicles

Rebate on biodiesel used other than as fuel for road vehicles 14A 1 This section applies if, at the excise duty point, it is intended that biodiesel on which duty under section 6AA is charged will…

Section 14B — Rebate on bioblend used other than as fuel for road vehicles

Rebate on bioblend used other than as fuel for road vehicles 14B 1 This section applies if, on the delivery for home use of bioblend on which duty under section 6AB is charged— a it is intended that…

Section 14C — Restrictions on use of rebated biodiesel and bioblend

Restrictions on use of rebated biodiesel and bioblend 14C 1 Rebated biodiesel or bioblend must not be— a used as fuel for a road vehicle, b used as an additive or extender in any substance so used,…

Section 14D — Penalties for misuse of rebated biodiesel or bioblend

Penalties for misuse of rebated biodiesel or bioblend 14D 1 If biodiesel or bioblend is used or taken into a road vehicle in contravention of section 14C(1) or (2), the Commissioners may assess the…

Section 14E — Rebated heavy oil and bioblend: private pleasure craft

Rebated heavy oil and bioblend: private pleasure craft 14E 1 This section applies in respect of rebated heavy oil or bioblend. 2 The heavy oil or bioblend must not be used as fuel for propelling…

Section 14F — Penalties for contravention of section 14E

Penalties for contravention of section 14E 14F 1 This section applies if a person— a uses a quantity of rebated heavy oil or bioblend in contravention of section 14E(2), or b fails to comply with…

Section 15 — Rates and rebates: increase from 1 October 2008

Rates and rebates: increase from 1 October 2008 15 1 HODA 1979 is amended as follows. 2 In section 6(1A) (main rates)— a in paragraph (a) (unleaded petrol), for “£0.5035” substitute “ £0.5235 ” , b…

Section 16 — Fuel for aircraft and boats, heating oil and fuel for certain engines

Fuel for aircraft and boats, heating oil and fuel for certain engines 16 1 In section 6(1A) of HODA 1979 (main rates)— a after paragraph (a) insert— aa £0.3103 a litre in the case of aviation…

Section 16ZA — Losses: non-UK domiciled individuals

Losses: non-UK domiciled individuals 16ZA 1 In this section “ the relevant tax year ”, in relation to an individual, means the first tax year for which— a section 809B of ITA 2007 (claim for…

Section 16ZB — Individual who has made election under section 16ZA: foreign chargeable gains remitted in tax year after tax year in which accrue

Individual who has made election under section 16ZA: foreign chargeable gains remitted in tax year after tax year in which accrue 16ZB 1 This section applies to an individual for a tax year (“the…