INTM601600 - Transfer of assets abroad: The benefits charge: Amount or value of benefit
In determining what amount is to be treated as income arising to an individual under the benefits charge, 바카라 사이트˜the amount or value바카라 사이트™ of benefits received by the individual in question has to be taken into account. The amount or value of the benefit must be determined from all the relevant facts in the absence of a specific meaning to the term.
Before any amount or value can be considered, it is first necessary to identify exactly what the benefit is that the individual has received, as it will be on this that the amount or value of the benefit will be determined.
In many cases it will be obvious and straightforward what the benefit is, for example where the individual receives a one-off payment of money in sterling. In other cases, there may be no immediately obvious measure of the amount or value of the benefit. This might occur for example where an individual has the use of an asset owned by a person abroad. In cases where the amount or value of a benefit is not obvious or needs to be checked, help may be available from HMRC바카라 사이트™s Shares and Assets Valuation team or in cases involving properties from the Valuation Office Agency.
INTM601620 looks at a few of the more common forms of benefit received which may help to indicate the considerations needed to determine the amount or value of the benefit.
With the expansion of the benefits charge to include non-UK domiciled and deemed UK domiciled transferors, it was considered that a more formal approach was needed to the valuation of benefits for the purposes of the transfer of assets abroad legislation. Therefore, Schedule 14 of Finance (No. 2) Act 2017 introduced ITA07/S742B to S742E to set out how certain benefits were to be calculated.Ìý
The legislation provides rules for calculating the value of a benefit provided in relation to the following and each will be looked at in turn in these pages of guidance:Ìý
INTM601645 - A payment by way of a loan (ITA07/S742C)Ìý
INTM601650 - The making available of movable property without any transfer of ownership of the property (ITA07/S742D)Ìý
INTM601655 - The making available of land without any transfer of the ownership of the land concerned (ITA07/S742E).Ìý
NoteÌý
Although these valuation rules for certain benefits were included as part of the deemed domicile package of changes to the transfer of assets abroad legislation, the rules apply to the valuation of these benefits in all scenarios with effect from 6 April 2017. These rule changes are not restricted to the valuation of benefits arising in protected settlements only.Ìý
It should also be noted that the same valuation rules apply with effect from 6 April 2017 for the purposes of TCGA92/S87 for CGT (see바카라 사이트¯CG38625Ìýonwards).Ìý