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ACCA Applied Skills · Taxation (UK) · The overall function and purpose of taxation in a modern economy

Under the same ACCA TX-UK rule on prospective legislation, how is a provision of an Act introduced by statutory instrument with a future effective date treated?

The same rule applies: a provision brought in by statutory instrument is not normally examined until it actually takes effect. ACCA applies the effective-date test to statutory instruments just as it does to provisions in a Finance Act that start at a later date.

  1. AIt is examined from the date the statutory instrument is signed
  2. BIt is never examinable in TX-UK
  3. CThe same rule applies, so it is not normally examined until its effective dateCorrect
  4. DIt is examined one year before its effective date

Explanation

The examinable documents say the rule on prospective legislation applies equally to the effective date of provisions of an Act introduced by statutory instrument. So such provisions are not normally examined until they actually take effect. They are not excluded permanently.

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