Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

General Insurance Manual

From
HM Revenue & Customs
Updated
, see all updates

Mutual insurance: tax treatment: accounting periods beginning on or after 1 October 2002: derivatives

The scope of derivative contracts is wider potentially than that of the FI legislation: weather, credit and insurance derivative contracts are within the scope of the new rules, but not if they are contracts of insurance (FA02/SCH26/PARA12). The dividing line can often be thin in this area - but the accounting, and hence the tax treatment, may be very different. There is further discussion at GIM8270+.