I5.1135 Meaning of 'capital sum' treated as income
For the purpose of these provisions, a 'capital sum' means1:
- Ìý
(a)ÌýÌýÌýÌý any sum paid by way of loan or repayment of a loan (see I5.1138), and
- Ìý
(b)ÌýÌýÌýÌý any other sum paid otherwise than as income, and which is not paid for full consideration in money or money's worth
A sum is not a capital sum for this purpose if it could only have been paid to the settlor in the event of2:
- Ìý
(i)ÌýÌýÌýÌý the bankruptcy of a person who is or may become beneficially entitled to the property concerned
- Ìý
(ii)ÌýÌýÌýÌý the bankruptcy of a living beneficiary under the age of 25
- Ìý
(iii)ÌýÌýÌýÌý an assignment of, or charge on, the property by a beneficiary within (i) or (ii)
- Ìý
(iv)ÌýÌýÌýÌý in the case of a marriage settlement (and, after 5 December 2005, a civil
To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to Tolley+™ Research or register for a free trial
Web page updated on 17 Mar 2025 17:14