View more on these topics

The Technical Quiz- June 14

To help you to keep up with the fundamentals of tax, retirement and financial planning, try answering these questions
Answers can be found at: www.moneymarketing.co.uk/technical

QUESTION 1

If a company invests in a UK investment bond which of the following is true?

A) It is entitled to top-slicing relief if its profits exceed the small profits threshold
B) The gains from the bond are chargeable to CGT
C) The bond will be subject to the loan relationship provisions
D) Indexation allowance is available to companies to set against gains from investment bonds

QUESTION 2

Paul invests £20,000 in a UK bond on June 20, 2003. In June 2008 he invests a further £10,000 into the same bond. He intends to encash it in July 2012. For how many years can the resulting gain be top-sliced?

A) Nine years
B) Five years
C) Two parts of the gain for nine years and one part for five years
D) 10 years

QUESTION 3

Richard has encashed an offshore bond which gives rise to a chargeable-event gain of £67,000. Top-slicing relief will give him relief against which of the following rates of income tax?

A) 10%, 20%, 40% and/or 50%
B) 20% and/or 40%
C) 40% only
D) 40% and/or 50%

Questions are set by Technical Connection

Answers: C, A, D

Recommended

1

IFA review site relaunches with industry backing

IFA comparison website VouchedFor.co.uk has relaunched a year after it first came to market, now with the support of four major industry partners to promote the site. The partners backing the website are the Institute of Financial Planning, platforms Fidelity FundsNetwork and Nucleus and financial services technology firm Voyant. Partners do not hold a stake […]

FSA fines investment firm £56k over risk management failings

The FSA has fined investment firm Accendo Markets £56,000 for failing to have adequate risk management systems in place.  Accendo’s compliance officer and director Gregory White has also been fined £10,000 for his role in the firm’s failures. Accendo Markets provided advice to customers and arranged dealings in contracts for difference products, which the FSA […]

O’Donnell wants levy for Treasury work

Former Cabinet Secretary Lord Gus O’Donnell says the Treasury should consider levying financial services firms to fund its work in the financial sector. Giving his first speech as a peer during this week’s Lords debate on the Financial Services Bill, O’Donnell said the Treasury is in danger of being “swamped” by its workload. He suggested […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com