Gain on cessation

Summary

This section sets out the taxation treatment of an SSIA when it ceases to be an SSIA (i.e. the terms of the account are broken by the individual). On cessation, the entire value of funds in the account becomes liable to the 23 per cent tax rate.

Details

(1) When an SSIA ceases, a gain is treated as accruing on the account.

(2) The amount of the gain on cessation is the aggregate market value of all assets in the SSIA on the day the account is treated as ceasing.

Relevant Date: Finance Act 2021