Chapter 4 of Part 8 of the Principal Act is amended -
(a) in section 256(1) -
(i) by the substitution for the definition of "appropriate tax" -
(I) as on and from 6 April 2000, of the following:
"'appropriate tax', in relation to a payment of relevant interest, means a sum representing income tax on the amount of the payment -
(a) in the case of a relevant deposit or relevant deposits held in a special savings account, at the rate of 20 per cent,
(b) subject to paragraph (c), in the case of any other relevant deposit, at the standard rate in force at the time of payment, and
(c) in the case of a relevant deposit, being a deposit made on or after 23 March 2000, other than a relevant deposit -
(i) referred to in paragraph (a), or
(ii) the interest in respect of which is payable annually or at more frequent intervals, or
(iii) which is a specified deposit within the meaning of section 260,
at a rate determined by the formula -
(S + 3) per cent
where S is the standard rate per cent (within
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