Statutory Instruments
2025 No. 12
INCOME TAX
The Lesbian, Gay, Bisexual and Transgender Financial Recognition Scheme (Income Tax Exemption) Regulations 2025
Made
7th January 2025
Laid before the House of Commons
8th January 2025
Coming into force
1st February 2025
The Treasury make these Regulations in exercise of the powers conferred by paragraphs 2(5) and (6) and 3(5) of Schedule 15 to the Finance Act 2020( 1 ).
Citation, commencement, effect and interpretation
1. —(1) These Regulations may be cited as the Lesbian, Gay, Bisexual and Transgender Financial Recognition Scheme (Income Tax Exemption) Regulations 2025, come into force on 1st February 2025 and have effect in relation to qualifying payments within regulation 2 received on or after that date.
(2) In these Regulations “ the Lesbian, Gay, Bisexual and Transgender Financial Recognition Scheme ” means the scheme under which compensation payments are made by the Ministry of Defence to persons who were wrongfully dismissed, discharged or forced to resign because of a ban on lesbian, gay, bisexual and transgender members in the armed forces of the Crown between 1967 and 2000.
Exemption from income tax for payments made under the Lesbian, Gay, Bisexual and Transgender Financial Recognition Scheme
2. A compensation payment made by the Ministry of Defence to a person under the Lesbian, Gay, Bisexual and Transgender Financial Recognition Scheme is a qualifying payment for the purposes of paragraph 3 of Schedule 15 to the Finance Act 2020.
Nicholas Dakin
Jeff Smith
Two of the Lords Commissioners of His Majesty's Treasury
7th January 2025
2020 c. 14 . Schedule 15 was amended by section 12(3)(b) and (c) of the Finance Act 2024 (c. 3) .