Depositary receipts and clearance services

– in the House of Commons am 9:47 pm ar 27 Tachwedd 2023.

Danfonwch hysbysiad imi am ddadleuon fel hyn

(1) The Finance Act 1986 is amended as follows.

(2) Section 90 (section 87: other exceptions) is amended as follows—

(a) in subsection (3C) —

(i) at the end of paragraph (a) insert “and";

(ii) omit paragraph (b);

(b) in subsection (3E) omit paragraph (b);

(c) in subsection (4) —

(i) the words from “falling within” to the end become paragraph (a);

(ii) after that paragraph insert “, or

(b) which would fall within section 93(1) or section 96(1) if the references in section 93 or section 96 (as the case may be) to the transfer of chargeable securities included the issue of chargeable securities.”

(3) In the italic heading before section 93 (SDRT: depositary receipts), at the end insert “: depositary receipts”.

(4) In section 93 —

(a) in the heading, at the end insert 1.5% charge”;

(b) in subsection (1) —

(i) in the words before paragraph (a) omit “Subject to subsection (7) below and section 95 below,”;

(ii) in paragraph (b) omit “or issued”;

(c) after that subsection insert—

“(1A) The following provisions contain exceptions to the charge to stamp duty reserve tax under this section —

(a) subsection (7) of this section (exception so far as stamp duty is chargeable);

(b) section 95 (general exceptions);

(c) section 95A (replacement securities);

(d) section 97AB (exempt capital-raising transfers);

(e) section 97AC (exempt listing transfers);

(f) section 97AD (exception for transfers of shares held by issuing company);

(g) section 97B (transfers between depositary receipt system and clearance system).”;

(d) in subsection (4) omit paragraph (a);

(e) omit subsection (10).

(5) In section 94 (depositary receipts: supplementary), in subsection (1), in the words before paragraph (a), for “section 93 above” substitute “sections 93 and 97AC”.

(6) In section 95 (depositary receipts: exceptions) —

(a) in subsection (1), in the words after paragraph (b) omit “subject to section 97C,”;

(b) in subsection (2), in the words before paragraph (a) omit “, issue";

(c) omit subsections (3) to (5);

(d) omit subsection (7).

(7) In section 95A (depositary receipts: exception for replacement securities) —

(a) in subsection (1) omit “, issue”;

(b) in subsection (3) —

(i) in paragraph (a), in the words before sub-paragraph (i) omit “, issue”;

(ii) in paragraph (b) omit “or (3)”;

(c) in subsection (4), in paragraph (a) omit issued”.

(8) Before section 96 (SDRT: clearance services) insert —