HM Treasury has published a paper entitled Enhancing competitiveness of UK funds (the Paper). The Paper complements the announcements made in this year's Budget by setting out further details of the tax and regulatory change that the Government has made over the last two years for authorised investment funds.
The Paper is set out as follows:
- Chapter 1 of the Paper summarises the tax and regulatory changes that the Government has announced following close consultation with industry.
- Chapter 2 of the Paper describes how the Government intends to take forward the proposals for tax elected funds.
- Chapter 3 of the Paper provides details on the legislative change intended to clarify whether certain undertakings by authorised investment funds will be taxed as trading or investment.
The Investment Management Association has published a press release stating that it welcomes the Paper which it believes provides certainty that funds will be taxed as investing and not trading.
View Enhancing the competitiveness of UK funds, 30 April 2009