The alternative finance arrangements tax rules have been extended to certain home purchase plan providers and arrangements facilitated through peer-to-peer platforms. The Alternative Finance (Income Tax, Capital Gains Tax and Corporation Tax) Order, SI 2022/572, provides the following:
Amendments are made to ITA 2007 s 564D (diminishing shared ownership arrangements) to provide that arrangements entered into by a regulated home purchase plan provider, or arrangements which are regulated electronic system facilitated arrangements, are diminishing shared ownership arrangements, provided that they also meet the other conditions set out in that section. Amendments are also made to the corresponding capital gains tax (TCGA 1992 s 151K) and corporation tax (CTA 2009 s 504) provisions.
The Order also amends ITA 2007 s 564C (purchase and resale arrangements) to provide that arrangements which are FCA-regulated electronic system facilitated arrangements are purchase and resale arrangements, provided that they also meet certain other conditions. Corresponding changes are made to TCGA 1992 s 151J and CTA 2009 s 503.
This Order comes into force on 24 May 2022. Arrangements entered into between 30 November 2021 and 24 May 2022 will fall within the new rules, but only in relation to events occurring after 24 May.
The alternative finance arrangements tax rules have been extended to certain home purchase plan providers and arrangements facilitated through peer-to-peer platforms. The Alternative Finance (Income Tax, Capital Gains Tax and Corporation Tax) Order, SI 2022/572, provides the following:
Amendments are made to ITA 2007 s 564D (diminishing shared ownership arrangements) to provide that arrangements entered into by a regulated home purchase plan provider, or arrangements which are regulated electronic system facilitated arrangements, are diminishing shared ownership arrangements, provided that they also meet the other conditions set out in that section. Amendments are also made to the corresponding capital gains tax (TCGA 1992 s 151K) and corporation tax (CTA 2009 s 504) provisions.
The Order also amends ITA 2007 s 564C (purchase and resale arrangements) to provide that arrangements which are FCA-regulated electronic system facilitated arrangements are purchase and resale arrangements, provided that they also meet certain other conditions. Corresponding changes are made to TCGA 1992 s 151J and CTA 2009 s 503.
This Order comes into force on 24 May 2022. Arrangements entered into between 30 November 2021 and 24 May 2022 will fall within the new rules, but only in relation to events occurring after 24 May.