CFM70120 - Other tax rules on corporate finance: exemptions from loan relationships: savings certificates

Income from savings certificates and Ulster savings certificates

CTA09/S1281 exempts income from savings certificates where the holding is within certain specified limits set out in Treasury regulations. The savings certificates in question are

  • those issued under
  • section 12 of the National Loans Act 1968
  • section 7 of the National Debt Act 1958
  • section 59 of FA 1920
  • war savings certificates defined in the National Debt Act 1972
  • those issued under the law of Northern Ireland (but excluding Ulster savings certificates).

The rule was previously at ICTA88/S46, and the corresponding income tax rule is at ITTOIA05/S692.

Ulster savings certificates

Ulster savings certificates have not been issued since March 1997. However, there are still holdings that have not been redeemed, and CTA09/S1282 provides that interest continuing to be paid in respect of these holdings is exempt from corporation tax