Introduction Summary
1.This section affects the taxation of certain life insurance policies, life annuity contracts and capital redemption policies under the chargeable event gain regime. It addresses income tax avoidance by putting beyond doubt that gains liable to income tax are not reduced where there are certain untaxed gains earlier in the life of the policy or contract, or by the use of certain cluster policy arrangements. The measure has effect for relevant policies and contracts made on or after 21 March 2012 and for pre-existing policies where certain events arise on or after this date.