(1) The Principal Act is hereby amended -

(a) in section 28, by the substitution in subsection (3) of "20 per cent" for "40 per cent",

(b) in section 594, by the insertion after paragraph (e) of subsection (2) of the following paragraph:

"(f) Notwithstanding subsection (3) of section 28, the rate of capital gains tax in respect of a relevant gain accruing to a person shall be 40 per cent",

and

(c) in Chapter 2 of Part 22, by the insertion after section 649 of the following section:

"Relevant disposals: rate of charge.

649A. Notwithstanding subsection (3) of section 28, the rate of capital gains tax in respect of chargeable gains accruing to a person on relevant disposals, other than a relevant disposal to which section 650 refers, shall be 40 per cent.".

(2) Subsection (1) shall apply -

(a) as respects paragraphs (a) and (c), in relation to disposals made on or after the 3rd day of December, 1997, and

(b) as respects paragraph (b), in relation to disposals made on or after the 12th day of February, 1998.