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CC 4: Payments of interest
or “How interest earnings and related income are treated for tax purposes”
You could also call this:

“How regular payments from annuities are treated as income”

When you receive an annuity, it counts as income for you. An annuity is a regular payment you get, often as part of a retirement plan or insurance policy.

If you sell or give away your annuity, any money that was due to be paid to you but hasn’t been paid yet is split between you and the person who gets the annuity after you.

There are two exceptions to these rules. If your annuity is from a life insurance policy or from a Crown Bank Account, different rules apply. You can find more information about these exceptions in sections CW 4 and CW 30 of the law.

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Next up: CC 6: Prizes received under Building Societies Act 1965

or “How prizes from building societies are taxed as income”
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Part C Income
Income from holding property (excluding equity)

CC 5Annuities

  1. An annuity derived by a person is income of the person.

  2. Income under an annuity due but unpaid on the date on which a person disposes of the annuity is apportioned between the person disposing of the annuity and the person acquiring it.

  3. This section is overridden by sections CW 4 (Annuities under life insurance policies) and CW 30 (Annuities from Crown Bank Accounts).

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