Subsection (2) applies if in the case of a settlement—
a beneficiary of the settlement receives a capital payment from the trustees in a tax year,
the settlor is resident in the United Kingdom for that tax year, and
the beneficiary ("the original recipient") is a close member of the settlor's family (see section 87H) at the time of receipt.
Sections 87 and 87A have effect as if the capital payment—
was received from the trustees by the settlor—
as a beneficiary of the settlement (whether or not the settlor is otherwise a beneficiary of the settlement), and
at the time it was received by the original recipient, and
was not received by the original recipient.
But subsection (2) does not apply if—
the original recipient is resident in the United Kingdom for the tax year in which they receive the capital payment, and
the settlor is a qualifying new resident for that tax year.
Where any tax is chargeable on the settlor as a result of subsection (2) and is paid, the settlor is entitled to recover the full amount of the tax from the original recipient.
For the purpose of recovering that amount, the settlor is entitled to require an officer of Revenue and Customs to give the settlor a certificate specifying—
the amount of tax paid, ...
the amount of the gains on which the tax is paid, and
the tax year in which those gains were treated as arising,
and any such certificate is conclusive evidence of the facts stated in it.