- a relevant treaty provision
means— a provision in double taxation arrangements having effect in relation to the territory, or b if no double taxation arrangements have effect in relation to the territory, provision in the terms of the OECD model. 6 This section does not apply if— a the adjusted relevant profits amount in relation to the territory for the relevant accounting period would (apart from subsection (2)) be less than the entry limit (as to which see subsection (7)), or b the motive test is met (as to which see section 18H). 7 “The entry limit” is— a £200,000, or b if the relevant accounting period is less than 12 months, a proportionately reduced amount. 18H 1 The motive test is met if conditions A and B are met. 2 Condition A is that in so far as any relevant transaction, or two or more transactions at least one of which was a relevant transaction (taken together), achieved a reduction in United Kingdom tax either— a the reduction was minimal, or b it was not the main purpose, or one of the main purposes, of the transaction, or of those transactions taken together, to achieve the reduction. 3 In subsection (2) “relevant transaction” means a transaction the results of w
- acceptable accounting practice
means— (a) international accounting standards, (b) UK generally accepted accounting practice, or (c) accounting practice which is generally accepted in the country in which Y is resident. 8 A currency is the designated currency of X for a period of account if the election in respect of that currency has effect throughout that period (see section 9B). 9B 1 An election under section 9A(2)(a) takes effect at the beginning of the day specified in the election as the day on which it takes effect (which must be later than the day on which the election is made). 2 An election under section 9A(2)(b) is treated as taking effect at the time of X's incorporation. 3 An e
- acquired
includes brought into use or made available for use for the first time for the purposes of the business, and b a reference to anything acquired or incurred includes anything treated as acquired or treated as incurred.”
- activities
includes buying, holding, managing and selling assets;
- Additional fund designation
has the meaning given by paragraph 10(8). 10 Paragraph 14 defines “relevant annuity”. 11 Nothing in this paragraph applies in respect of an arrangement to which section 165(3A) applies. 10B 1 This paragraph applies if the member has reached the age of 75. 2 Sub-paragraph (3) applies if, at any time during a drawdown pension year in respect of an arrangement (“the current drawdown pension year”), the member notifies the scheme administrator that the member wishes the drawdown pension year following the current drawdown pension year to begin on the day on which the next drawdown pension year in respect of another arrangement relating to the member under the pensio
- address
includes an electronic address;
- adjusted ring fence profits
has the same meaning as in section 330 of CTA 2010;
- affected prior accounting period
means— a the accounting period of the company in which the election under section 18A is made, and b any earlier accounting period of the company ending less than 6 years before the end of that accounting period. 4 For the purposes of subsection (2) the “adjusted” foreign permanent establishments amount is what the foreign permanent establishments amount would be if it were determined without reference to gains or losses which are chargeable gains or allowable losses for the purposes of corporation tax. 18K 1 At the end of each relevant accounting period of the company (starting with the first) the total opening negative amount is to be reduced (or further reduced) by the amount of any aggregate relevant profits amount of the company for the accounting period (but not to below nil). 2 In any relevant accounting period of the company for which there is a reduction under subsection (1), section 18A(1) does not apply in relation to the aggregate relevant profits amount of the company for the accounting period. 3 But in the case of the last relevant accounting period of the company for which there is a reduction under subsection (1), section 18A(1) is
- agreement
includes an agreement which forms part of a multi-lateral agreement, arrangement or trading facility,
- agricultural levy
has the meaning given by section 6 of the European Communities Act 1972;
- alternative finance return
means— (a) an alternative finance return within the meaning of Part 10A of ITA 2007, and (b) an alternative finance return within the meaning of Part 6 of CTA 2009;
- an increase in the consumer prices index
means the percentage by which the consumer prices index for the month of September in the previous tax year is higher than it was for the same month in the year before (or nil per cent if it is not higher).
- an increase in the retail prices index
means the percentage by which the retail prices index for a month specified in the rules of the pension scheme (or predecessor pension scheme) is higher than it was for the same month in the year before (or nil per cent if it is not higher);
- annuity contract
means a contract for the provision of an annuity— (a) granted for consideration in money or money's worth in the ordinary course of a business of granting annuities on human life, and (b) payable for a term ending at a time ascertainable only by reference to the end of a human life, although for this purpose it does not matter that the annuity may in some circumstances end before or after the life, • “insurance company” means— (a) a person or EEA firm within section 275(1)(a) or (b) of FA 2004, or (b) a person resident in a territory outside the European Economic Area— (i) whose normal business includes the provision of annuities, and (ii) who is regulated in the conduct of that business by the government of that territory or by a body established under the law of that territory for the purpose of regulating such business, and • “pre-6 April 2011 annuity rights” means rights, which accrued before 6 April 2011, specifically to receive an annuity. 554W 1 This section applies if— a a relevant benefit is provided under a relevant scheme by way of a payment of a lump sum wholly out of rights which A has under the scheme, b A's rights out of which the lump sum is paid
- applicant authority
has the same meaning as in MARD;
- apportionment
means an apportionment under section 747(3);
- Arrangement
includes any agreement, scheme, settlement, transaction, trust or understanding (whether or not it is legally enforceable). 4 “Market value” has the same meaning as it has for the purposes of TCGA 1992 by virtue of Part 8 of that Act. 5 Section 170(2) to (11) of TCGA 1992 applies for the purpose of determining whether a company is a member of a group of companies. 6 And for that purpose, section 170(2) to (11) is to be read as if for “75 per cent” (wherever occurring) there were substituted “ 51 per cent ” (with section 1154(2) of CTA 2010 applying accordingly). 7 References to the payment of a sum of money include (in particular) references to the payment of a sum of money by way of a loan. 8 “Pension scheme” has the same meaning as in Part 4 of FA 2004 (see section 150(1) of that Act). 9 “Relevant step” is defined in section 554A(2). 10 References to a relevant step which involves a sum of money are references to— a a step within section 554B where the subject of the relevant step is a sum of money, b a step within section 554C(1)(a), or c a step within section 554C(1)(d) where the subject of the relevant step is a sum of money. 11 References to the asset which is t
- arrangements
includes any agreement, understanding, scheme, transaction or series of transactions (whether or not it is legally enforceable);
- Asset management activities
means activities which consist (or, if they were carried on in the United Kingdom, would consist) of any or all of the following—
- assignment
includes assignation, and “assign” is to be construed accordingly;
- associate
means a person connected with the relevant company (see also subsection (9)), and c a person is a “qualifying associate” if the person is an associate at the start of the relevant day or at any earlier time in the past 12 months (whether or not a time when the plant or machinery was leased out by the person). 9 If the relevant company is owned by a consortium or is a qualifying 75% subsidiary of a company owned by a consortium, the reference in subsection (8)(b) to a person connected with the relevant company also includes— a any member of the consortium, and b any person connected with such a member. 10 A reference in this section to the past 12 months is to the period of 12 mon
- associated donation
means an associated donation within the meaning of section 809ZM of ITA 2010 or section 939F of CTA 2010.”
- associated employments
means employments with B or with employers associated with B;
- Authorised officer
means an officer of Revenue and Customs who is, or is a member of a class of officers who are, authorised by the Commissioners for the purposes of this paragraph.
- Authorised person
means an entity which—
- avoidance scheme
means a scheme the main purpose, or one of the main purposes, of any party to which in entering into the scheme is to secure that section 748(1)(f) prevents an apportionment falling to be made under section 747(3) as regards an accounting period, or accounting periods, of X;
- benefit associated with a gift
has the meaning given by section 417;
- benefit associated with a payment
has the meaning given by section 196;
- body of persons
has the same meaning as in TMA 1970;
- broker
includes any person offering to sell securities to, or purchase securities from, members of the public generally;
- building society
means a building society within the meaning of the Building Societies Act 1986;
- capital market arrangement
has the same meaning as in section 72B(1) of the Insolvency Act 1986 (see paragraph 1 of Schedule 2A to that Act);
- car
has the meaning given by section 235(2), and • “licensed lender” means a person— (a) who is a licensee under the Consumer Credit Act 1974 acting within the terms of the person's licence, and (b) who is not acting as a trustee. 554P 1 Chapter 2 does not apply by reason of a relevant step if an employment income exemption under Part 4 applies to the subject of the relevant step. 2 If the employment income exemption applies to the subject of the relevant step in part only, the relevant step is to be treated for the purposes of this Part as being two separate relevant steps— a one in relation to the subject of the step so far as the exemption applies to it, and b one in relation to the subject of the step so far as the exemption does not apply to it, with subsection (1) applying only in relation to the separate relevant step mentioned in paragraph (a). 3 In order to give effect to subsection (2), the sum of money or asset which is the subject of the relevant step is to be apportioned between the two separate relevant steps on a just and reasonable basis. 4 In this section “employment income exemption” includes the exemption under section 271. 554Q 1 This section applies if— a a s
- charge on or agreement to charge
includes a right in security over or an agreement to create a right in security over;
- chargeable member
means a member of the relevant group within paragraph 53(3).
- chargeable period
means a tax year, accounting period or other period for which a tax is charged;
- chargeable relevant step
means a relevant step within the meaning of Part 7A of ITEPA 2003 by reason of which Chapter 2 of that Part applies (and references to A and B are to be read accordingly), and b references to the cost of a chargeable relevant step are to be read in accordance with section 554Z3(6) of that Act.”
- Chargeable UK resident entity
means a UK resident entity which—
- charity
has the meaning given by paragraph 1(1) of Schedule 6 to FA 2010;
- child
means an individual under 18;
- client
has the meaning given by Article 2(15) of the EMIR Regulation, • “client clearing agreement” means a contract between a clearing member of a qualifying central counterparty and a client, relating to the clearing of transactions with the qualifying central counterparty, • “derivative contract” has the meaning given by international accounting standards, • “the EMIR Regulation” means Regulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories, • “qualifying central counterparty” means a central counterparty that has been either authorised or recognised under the EMIR Regulation, • “trade” means a transaction relating to the sale and purchase of a financial instrument or to the entering into of a derivative contract.
- client clearing agreement
means a contract between a clearing member of a qualifying central counterparty and a client, relating to the clearing of transactions with the qualifying central counterparty, • “derivative contract” has the meaning given by international accounting standards, • “the EMIR Regulation” means Regulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories, • “qualifying central counterparty” means a central counterparty that has been either authorised or recognised under the EMIR Regulation, • “trade” means a transaction relating to the sale and purchase of a financial instrument or to the entering into of a derivative contract.
- close company
includes a company that would be a close company if it were resident in the United Kingdom. 939I 1 In this Part— • “arrangements” includes any scheme, arrangement or understanding of any kind, whether or not legally enforceable, involving a single transaction or two or more transactions;
- collective investment scheme
has the same meaning as in Part 17 of FISMA 2000 (see sections 235 and 237 of that Act);
- commencement
means the day on which this Act is passed.
- Commission Regulation 2015/61
means Commission Delegated Regulation (EU) 2015/61 of 10 October 2014 to supplement Regulation (EU) No 575/2013 of the European Parliament and the Council with regard to liquidity coverage requirement for Credit Institutions;
- company
has the meaning given by section 1121(1) of CTA 2010;
- company tax return
has the same meaning as in Schedule 18 to FA 1998 (see paragraph 3(1));
- compliance notice
means a notice under section 35 of the Pensions Act;
- contract of general insurance
means a contract of a type described in Part 1 of Schedule 1 to the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 ( S.I. 2001/544);
- contract of insurance
has the meaning given by article 3(1) of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 ( S.I. 2001/544);
- contract of long-term insurance
means a contract of a type described in Part 2 of that Schedule;
- controlling UK person
means a person resident in the United Kingdom who alone, or together with other such persons, controls X. 15D 1 The requirements of this paragraph are that— a the relevant time falls after 23 March 2011, b X has an accounting period during which 23 March 2011 falls, c no company was, at any time during that accounting period, a relevant UK corporate investor in X, d no company was, immediately before the relevant time, a relevant UK corporate investor in X, e at the relevant time X is controlled by a company which— i is resident in the United Kingdom, and ii is not under the control of another body corporate, or two or more other bodies corporate taken together, and f no disqualifying relevant transaction occurs (see paragraph 15E). 2 In determining for the purposes of sub-paragraph (1)(e)(ii) whether a company is under the control of two or more bodies corporate taken together, a body corporate which holds less than 10% of the issued ordinary shares of that company is to be disregarded. 3 For the purposes of sub-paragraph (2), a body corporate is treated as holding any shares held by persons who are connected or associated with the body corporate. 15E 1 Thi
- Corporation tax
includes any amount assessable or chargeable as if it were corporation tax.
- corporation tax relief
means relief under— (a) section 63(2)(a), (aa) or (ab) of CAA 2001 (gifts of plant and machinery), so far as it applies in relation to corporation tax, (b) section 105 of CTA 2009 (gifts of trading stock), or (c) Part 6 of CTA 2010 (charitable donations relief);
- corresponding UK claim
means a claim in the United Kingdom of a kind that appears to the relevant UK authority to correspond most closely to the kind of foreign claim to which the foreign claim belongs.
- covered bond vehicle
means a limited liability partnership— (a) which is a party to a capital market arrangement, or a transaction in pursuance of a capital market arrangement, (b) whose trade or business (ignoring any incidental activities) consists wholly of one or both of the following— (i) providing guarantees, and (ii) acquiring, owning and managing assets directly or indirectly forming the whole or part of the security for the capital market arrangement, and (c) which is within the charge to corporation tax;
- credit institution
has the meaning given by Article 4.1(1) of Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms.
- Currency liabilities
means liabilities of an entity or a group of entities representing notes issued by the entity or a member of the group as currency.
- data
includes information held in any form;
- dealing on own account
has the same meaning as in Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments (see Article 2.1(5));
- deeply discounted security
has the same meaning as in Chapter 8 of Part 4 of ITTOIA 2005;
- deposit
has the meaning given by article 5(2) of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (S.I. 2001/544) but ignoring the exclusions in articles 6 to 9AB;
- derivative contract
has the meaning given by international accounting standards.
- designated FPE entity
means a UK resident entity in respect of which an election is made under paragraph 15D or 15E.
- distribution
has the same meaning as in the Corporation Tax Acts (see Part 23 of CTA 2010);
- dividend
includes any kind of distribution;
- document
includes a copy of a document (see also section 114 of FA 2008);
- double taxation arrangements
means arrangements that have effect under section 2(1) of TIOPA 2010;
- double taxation relief arrangements
means arrangements that have effect under section 2(1) of TIOPA 2010;
- electronic stored-value payment services
means services by means of which monetary value is stored electronically for the purpose of payments being made in respect of transactions to which the provider of those services is not a party.
- employment income exemption
includes the exemption under section 271. 554Q 1 This section applies if— a a sum of money or asset (“sum or asset R”) is held by or on behalf of a person (“P”), b income arises from sum or asset R, and c when the income arises, it— i is received by or on behalf of P, and ii is the subject of a relevant step within section 554B taken by P. 2 Chapter 2 does not apply by reason of the relevant step mentioned in subsection (1)(c)(ii) if— a before the income arises, sum or asset R was the subject of a relevant step within section 554B taken by P, b Chapter 2 applied by reason of the relevant step mentioned in paragraph (a) in respect of A's employment with B or would have so applied apart from this section or section 554R or any of sections 554H to 554M or section 554T, c immediately before the income arises, sum or asset R is still earmarked or otherwise held on the basis mentioned in section 554B(1)(a) or (b), and d subsection (3) does not apply. 3 This subsection applies if it is reasonable to suppose that, taking into account the type of investments from which the income derives (directly or indirectly), in essence, the income represents a return from
- enactment
includes— (a) an Act of the Scottish Parliament, (b) a Measure or Act of the National Assembly for Wales, and (c) any Northern Ireland legislation as defined by section 24(5) of the Interpretation Act 1978;
- entity
includes a company, a partnership or a joint venture, but not— (a) the Crown, (b) a Minister of the Crown, (c) a government department, (d) a Northern Ireland department, (e) a foreign sovereign power, or (f) an international organisation;
- excluded amounts
has the same meaning as in subsection (1)(b) of section 270B (see subsection (4) of that section). 4 In section 318A “the required time”, in the case of an employee, means— a if the employee joins the scheme under which the care is provided at a time during the tax year, that time, and b otherwise, the beginning of the tax year. 5 For the purposes of subsection (5)(a) the employee is taken to join the scheme as soon as— a the employer has agreed that care will be provided under the scheme for the employee, and b there is a child falling within section 318A(3)(a) or (b) in relation to the employee. 6 The Treasury may by order amend this section.”
- Excluded entity
means an entity which is—
- exempt activities
means— (a) insurance activities, asset management activities and related activities, and (b) non-financial trading activities;
- exempt distribution
means a distribution (within the meaning of Part 23 of CTA 2010) which would be excluded from the company's chargeable profits by reason of it being exempt for the purposes of Part 9A of CTA 2009 (company distributions), b where there is more than one settlor or beneficiary in relation to the settlement mentioned in subsection (3A)(b), the income is to be apportioned between the company and the other settlors or beneficiaries on a just and reasonable basis, and c the company's share of any income which accrues to a partnership as mentioned in subsection (3A)(c) is to be determined by apportioning that income between the company and the other partners on a just and reasonable basis;
- exemption adjustments
means any such adjustments as are appropriate to secure that there are left out of account any profits and losses taken into account in arriving at the foreign permanent establishments amount in relation to any relevant accounting period. 3 In this Chapter “relevant accounting period”, in relation to a company by which an election is made under this section, means an accounting period of the company to which the election applies (as to which see section 18F). 4 For the purposes of this Chapter the “foreign permanent establishments amount”, in relation to an accounting period of a company, is— a the aggregate of the relevant profits amount in the case of each relevant foreign territory in relation to which there is a relevant profits amount for the accounting period, less b the aggregate of the relevant losses amount in the case of each relevant foreign territory in relation to which there is a relevant losses amount for the accounting period. 5 In this Chapter “relevant foreign territory”, in relation to a company, means a territory outside the United Kingdom in which the company carries on, or has carried on, business through a permanent establishment. 6 Fo
- Finance income
means— a any amount which in accordance with UK generally accepted accounting practice falls to be recognised as arising from a financial asset, and b any return, in relation to an amount, which— i is produced for C by an arrangement to which C is party, and ii is economically equivalent to interest, except to the extent that the return is taken into account in determining an amount within paragraph (a). 4 “Relevant IP income” means royalties and receipts of a similar nature arising from intellectual property. 5 For the purposes of sub-paragraph (3)(b), the amount of a return is the amount which by virtue of the return would, in calculating C's chargeable profits, be treated under section 486B of CTA 2009 (disguised interest to be regarded as profit from loan relationship) as a profit arising to C from a loan relationship. 6 But, in calculating that profit for the purposes of sub-paragraph (5), sections 486B(7) and 486C to 486E of CTA 2009 are to be ignored. 7 In this paragraph— • “economically equivalent to interest” is to be construed in accordance with section 486B(2) and (3) of CTA 2009;
- financial asset
means a financial asset as defined for the purposes of UK generally accepted accounting practice or international accounting standards;
- financial institution
has the meaning given by section 564B of the Income Tax Act 2007. 2 For this purpose section 564B(1) applies as if paragraph (d) were omitted.”
- Financial services compensation scheme liabilities
means liabilities representing—
- financial statements of the group
means consolidated financial statements of Y and its subsidiaries (within the meaning of section 351 of TIOPA 2010), • “Y's group” means a group of which Y is the ultimate parent (and for this purpose “group” and “ultimate parent” have the same meaning as they have for the purposes of Part 7 of that Act (see sections 338 and 339)), and • “acceptable accounting practice” means— (a) international accounting standards, (b) UK generally accepted accounting practice, or (c) accounting practice which is generally accepted in the country in which Y is resident. 8 A currency is the designated currency of X for a period of account if the election in respect of that
- financial trading entity
means an entity which— (a) is an authorised person for the purposes of FISMA 2000 (see section 31 of that Act), (b) is not UK resident, but if it were and it carried on its activities in the United Kingdom, would be required to be an authorised person, or (c) is not within paragraph (a) or (b) but carries on a trade consisting wholly or partly in dealing in securities;
- flexible drawdown arrangement
means an arrangement to which section 165(3A) or 167(2A) of FA 2004 applies;
- foreign dividend
means any annual payment, interest or dividend payable out of, or in respect of the funds or securities of— (a) a body of persons that is not resident in the United Kingdom, or (b) a government or public or local authority in a country outside the United Kingdom.
- foreign territory
means a territory outside the United Kingdom.
- group
means a group for the purposes of—
- group accounts
means accounts prepared under— a section 399 of the Companies Act 2006, or b any corresponding provision of the law of a territory outside the United Kingdom. 11 The following provisions apply for the purposes of this section— • sections 466 to 471 of CTA 2009 (companies connected for accounting period), and • sections 473 and 474 of CTA 2009 (meaning of “major interest”). 938F 1 An economic profit or loss is to be computed for the purposes of this Part taking into account, in particular— a profits and losses made as a result of the operation of the Corporation Tax Acts, and b any adjustments required to reflect the time value of money. 2 A reference in this Part to an economic profit or loss made by the scheme group over the scheme period is to an economic profit or loss made in that period by the members of the group considered together. 3 In determining for the purposes of this Part the amount of an economic profit or loss made by the scheme group over the scheme period, profits and losses made by a member of the group are to be taken into account only to the extent that they are attributable to times at which the member is a party to the scheme. 938G 1 This sec
- group disposal
means a disposal within subsection (3A)(a) to which this subsection applies and the company making the disposal is referred to as “the transferor company”. 3C For the purposes of subsections (3A) and (3B), the question whether there is a disposal is to be determined ignoring section 127 (share reorganisations etc treated as not involving disposal). 3D If subsection (3A) applies, any chargeable gain or allowable loss accruing to the transferor company on a group disposal (other than a group disposal to which section 127 applies) is to be calculated— a where a chargeable gain would accrue to company A in the absence of subsection (3A), as if the amount of the consideration for the group disposal were increased by the amount of the gain, and b where an allowable loss would accrue to company A in the absence of subsection (3A), as if an amount equal to the amount of the loss were a sum allowable under section 38 as a deduction in the computation of the gain or loss accruing on the group disposal. 3E If subsection (3A) applies, and section 127 applies to a group disposal, any chargeable gain or allowable loss accruing to the transferor company on a disposal of the new h
- guaranteed minimum pension
has the meaning given by— (a) section 8(2) of the Pension Schemes Act 1993, or (b) section 4(2) of the Pension Schemes (Northern Ireland) Act 1993;
- High strength beer
means beer which is of a strength exceeding 7.5 per cent. 3 The duty charged by subsection (1) is referred to in this Act as “high strength beer duty”. 4 High strength beer duty is charged at £4.64 per hectolitre per cent of alcohol in the beer. 5 Subject to the provisions of this Act— a the high strength beer duty on beer produced in, or imported into, the United Kingdom is to be charged and paid, and b the amount chargeable in respect of any such duty is to be determined and becomes due, in accordance with regulations under section 49 and with any regulations under section 1 of the Finance (No. 2) Act 1992.”
- HMRC
means Her Majesty's Revenue and Customs;
- ICTA
means the Income and Corporation Taxes Act 1988, • “IHTA 1984” means the Inheritance Tax Act 1984, • “ITA 2007” means the Income Tax Act 2007, • “ITEPA 2003” means the Income Tax (Earnings and Pensions) Act 2003, • “ITTOIA 2005” means the Income Tax (Trading and Other Income) Act 2005, • “OTA 1975” means the Oil Taxation Act 1975, • “PRTA 1980” means the Petroleum Revenue Tax Act 1980, • “TCGA 1992” means the Taxation of Chargeable Gains Act 1992, • “TIOPA 2010” means the Taxation (International and Other Provisions) Act 2010, • “TMA 1970” means the Taxes Management Act 1970, • “TPDA 1979” means the Tobacco Products Duty Act 1979, • “VATA 1994” means the Value Added Tax Act 1994, and • “VERA 1994” means the Vehicle Excise and Registration Act 1994.
- income of an individual from investments under a plan
includes income from investments which is treated as the individual's income by virtue of section 629 (income paid to relevant children of settlor).”
- income tax relief
means relief under— (a) section 63(2)(a), (aa) or (ab) of CAA 2001 (gifts of plant and machinery), so far as it applies in relation to income tax, (b) Part 12 of ITEPA 2003 (payroll giving), (c) section 108 of ITTOIA 2005 (gifts of trading stock), (d) Chapter 2 of Part 8 of this Act (gift aid), or (e) Chapter 3 of that Part (gifts of shares etc);
- income withdrawal
has the meaning given by paragraph 7 of that Schedule;
- index-linked gilt-edged securities
means any gilt-edged securities under which the amounts of the payments are determined wholly or partly by reference to an index of prices published by the Statistics Board;
- insurance activities
means— (a) the effecting or carrying out of contracts of insurance by a regulated insurer, and (b) investment business that arises directly from activities falling within paragraph (a);
- insurance company
means— (a) a person or EEA firm within section 275(1)(a) or (b) of FA 2004, or (b) a person resident in a territory outside the European Economic Area— (i) whose normal business includes the provision of annuities, and (ii) who is regulated in the conduct of that business by the government of that territory or by a body established under the law of that territory for the purpose of regulating such business, and • “pre-6 April 2011 annuity rights” means rights, which accrued before 6 April 2011, specifically to receive an annuity. 554W 1 This section applies if— a a relevant benefit is provided under a relevant scheme by way of a payment of a lump sum wholly out of rights which A has under the scheme, b A's rights out of which the lump sum is paid are, wholly or partly, pre-6 April 2011 lump sum rights, and c the payment of the lump sum is a relevant step within section 554C. 2 Chapter 2 does not apply by reason of the relevant step. 3 If A's rights out of which the lump sum is paid are only partly pre-6 April 2011 lump sum rights, the relevant step is to be treated for the purposes of this Part as being two separate relevant steps— a one in relation to the lump
- insurance group
has the meaning given by paragraph 11A(4);
- international accounting standards
has the meaning given by section 1127(5) of CTA 2010, including any modifications mentioned in section 1127(6);
- international organisation
means an organisation of which— (a) two or more sovereign powers are members, or (b) the governments of two or more sovereign powers are members, (see also sub-paragraph (5));
- International tax enforcement arrangements
means arrangements which relate to one or both of the following—
- investment bank
has the meaning given by sub-paragraph (1A);
- investment business
means activities within paragraphs (a) to (d) of paragraph 9(1). 3 For the purposes of sub-paragraph (2)(f), a person is “related” to C if— a the person is connected or associated with C, b the person has a 25 per cent assessable interest in C in the case of the accounting period in question (within the meaning of paragraph 6(4C)), or c if C is a controlled foreign company in that accounting period by virtue of subsection (1A) of section 747, the person is connected or associated with either or both of the two persons mentioned in that subsection. 4 In sub-paragraph (2)— • “broker” includes any person offering to sell securities to, or purchase securities from, members of the public generally;
- investment company
means a company whose business consists wholly or mainly in the making of investments and the principal part of whose income is derived from those investments.”
- lending activities
means— (a) acceptance of deposits or other repayable funds, (b) lending of money, including consumer credit, mortgage credit, factoring (with or without recourse) and financing of commercial transactions (including forfeiting), (c) finance leasing (as lessor), (d) issuing and administering means of payment, (e) provision of guarantees or commitments to provide money, (f) money transmission services, (g) provision of alternative finance arrangements, and (h) other activities carried on in connection with activities falling within any of paragraphs (a) to (g);
- licensed lender
means a person— (a) who is a licensee under the Consumer Credit Act 1974 acting within the terms of the person's licence, and (b) who is not acting as a trustee. 554P 1 Chapter 2 does not apply by reason of a relevant step if an employment income exemption under Part 4 applies to the subject of the relevant step. 2 If the employment income exemption applies to the subject of the relevant step in part only, the relevant step is to be treated for the purposes of this Part as being two separate relevant steps— a one in relation to the subject of the step so far as the exemption applies to it, and b one in relation to the subject of the step so far as the exemption does not apply to it, with subsection (1) applying only in relation to the separate relevant step mentioned in paragraph (a). 3 In order to give effect to subsection (2), the sum of money or asset which is the subject of the relevant step is to be apportioned between the two separate relevant steps on a just and reasonable basis. 4 In this section “employment income exemption” includes the exemption under section 271. 554Q 1 This section applies if— a a sum of money or asset (“sum or asset R”) is held by or
- limited activity firm
means an investment firm that— (a) deals on own account only for the purpose of fulfilling or executing a client order or for the purpose of gaining entrance to a clearing and settlement system or a recognised exchange when acting in an agency capacity or executing a client order;
- limited liability partnership
includes an entity established under the law of a territory outside the United Kingdom of a similar character to a limited liability partnership;
- limited licence firm
means an investment firm that is not authorised to provide the investment services and activities of— (a) dealing on own account;
- Linked person
means— a the person who made the donation (“the donor”), or b a person who is connected with the donor at a relevant time. 4 In subsection (3) “relevant time” means a time during the period which begins with the earliest, and ends with the latest, of the following times— a the time when the arrangements are entered into as mentioned in subsection (2);
- local authority
has the meaning given in section 999 of ITA 2007;
- Local authority association
has the meaning given in section 1000 of ITA 2007.
- local firm
means a firm— (a) dealing on own account on markets in financial futures or options or other derivatives and on cash markets for the sole purpose of hedging positions on derivatives markets, or (b) dealing for the accounts of other members of those markets and being guaranteed by clearing members of the same markets, where responsibility for ensuring the performance of contracts entered into by such a firm is assumed by clearing members of the same markets;
- major change in the nature or conduct of the business
includes—
- MARD
means Council Directive 2010/24/EU.
- Market value
has the same meaning as it has for the purposes of TCGA 1992 by virtue of Part 8 of that Act. 5 Section 170(2) to (11) of TCGA 1992 applies for the purpose of determining whether a company is a member of a group of companies. 6 And for that purpose, section 170(2) to (11) is to be read as if for “75 per cent” (wherever occurring) there were substituted “ 51 per cent ” (with section 1154(2) of CTA 2010 applying accordingly). 7 References to the payment of a sum of money include (in particular) references to the payment of a sum of money by way of a loan. 8 “Pension scheme” has the same meaning as in Part 4 of FA 2004 (see section 150(1) of that Act). 9 “Relevant step” is defined in section 554A(2). 10 References to a relevant step which involves a sum of money are references to— a a step within section 554B where the subject of the relevant step is a sum of money, b a step within section 554C(1)(a), or c a step within section 554C(1)(d) where the subject of the relevant step is a sum of money. 11 References to the asset which is the subject of a relevant step are, in the case of a step within section 554C(1)(e), references to the lease granted. 12 For this purpose, th
- matched principal trading firm
means an investment firm that executes investors’ orders for financial instruments (including in the course of operating an organised trading facility) and meets the following conditions— (a) the firm only holds financial instruments for its own account as a result of its failure to match investors’ orders precisely;
- member of an insurance group
has the meaning given by paragraph 11A(6). 12E 1 The requirement of this paragraph is that C does not have a significant connection with the United Kingdom during the accounting period. 2 C has a significant connection with the United Kingdom during the accounting period if Condition A or B is met. 3 Condition A is that— a the UK-connected gross income of C's business for that period exceeds 10% of the gross income of that business for that period, and b sub-paragraph (4) does not apply. 4 This sub-paragraph applies if— a at all times in the accounting period there are sufficient individuals working for C in the territory in which it is resident, or in any other territory outside of the United Kingdom, who have the competence and authority to undertake all, or substantially all, of C's business, b C's relevant profits for the accounting period do not exceed 10% of C's relevant operating expenses for that period, and c the UK-connected gross income of C's business for that period does not exceed 50% of the gross income of that business for that period. 5 Condition B is that— a the UK-connected related-party business expenditure of C's business for that
- members of the public
means members of the public at large with whom P deals at arm's length. 5 In this section references to A include references to any person linked with A. 554G 1 Chapter 2 does not apply by reason of a relevant step taken by a person (“P”) if— a the step is not taken under a pension scheme, b the step is taken for the sole purpose of a transaction which P has with A and which P entered into in the ordinary course of P's business, c if the step is the payment of a sum of money by way of a loan— i a substantial proportion of P's business involves making similar loans to members of the public, ii the transaction with A is part of a package of benefits which is available to a substantial proportion of B's employees, and iii subsection (3) does not apply, d if the step is not the payment of a sum of money by way of a loan, the transaction with A is part of a package of benefits which is available— i to a substantial proportion of B's employees, or ii to a substantial proportion of those employees of B whose status as employees of B is comparable with A's status as an employee of B (taking into account (for example) levels of seniority, types of duties and levels o
- Modifications
includes amendments.”
- net chargeable profits
means chargeable profits excluding so much of those profits as is directly attributable to the finance income or relevant IP income of the controlled foreign company;
- net settlement provision
means provision for there to be a single net settlement—
- net-basis activities
means activities normally reported on a net basis in consolidated financial statements prepared under international accounting standards;
- new holding
has the meaning given by section 126. 3F If there is more than one group disposal, the references in subsections (3D) and (3E) to the amount of the gain or loss which would accrue to company A in the absence of subsection (3A) are to be read, in relation to each disposal, as references to— a such proportion of that amount as the transferor companies in relation to the group disposals jointly elect as the appropriate proportion in relation to the disposal in question, or b where no election is made, the proportion of that amount attributable to that disposal if that amount is divided equally between the group disposals. 3G An election under subsection (3F) must— a specify the ap
- new oil field
means an oil field— a which is a qualifying oil field, and b whose development (in whole or in part) is authorised for the first time on or after 22 April 2009. 2 If all assets of an oil field which are relevant assets have been decommissioned, there is to be ignored for the purposes of subsection (1)(b) any authorisation in respect of that oil field which occurs before that decommissioning. 3 Sub-paragraphs (2) to (9) of paragraph 7 of Schedule 1 to OTA 1975 apply for the purpose of determining whether relevant assets of an oil field are decommissioned as they apply for the purpose of determining whether qualifying assets of a relevant area are decommissioned. 4 For the purp
- nomination period
means the first 45 days of the chargeable period.
- non-exempt activities
means— (a) the holding or managing of shares or securities, (b) the holding of intellectual property, (c) dealing in securities, other than in the capacity of a broker, (d) the leasing of any description of property or rights, (e) the investment in any manner of funds which would otherwise be available, directly or indirectly, for investment by or on behalf of any person (whether resident in the United Kingdom or not) who has, or is connected or associated with a person who has, control, either alone or together with other persons, of C, and (f) if C is not a member of an insurance group throughout the accounting period, the effecting or carrying out of contracts of insurance between C and persons related to C;
- non-financial trading activities
means activities carried on by an entity which is not a financial trading entity, other than— (a) lending activities, and (b) dealing on own account, with the exception of any hedging transactions in relation to activities which (disregarding this exception) are non-financial trading activities;
- office
includes in particular any position which has an existence independent of the person who holds it and may be filled by successive holders;
- oil asset
has the meaning given in section 198E(5);
- other relevant income
means— a general earnings of the employee or former employee which are chargeable to income tax, b an amount which counts as employment income of the employee or former employee under Chapter 2 of Part 7A, or c an amount which would be within paragraph (a) or (b) apart from the employee or former employee having been non-UK resident for any tax year.”
- overseas pension scheme
has the same meaning as in Part 4 of FA 2004 (see section 150(7) of that Act);
- parental responsibility
means— (a) parental responsibility within the meaning of the Children Act 1989 or the Children (Northern Ireland) Order 1995, or (b) parental responsibilities within the meaning of the Children (Scotland) Act 1995;
- partnership
includes— (a) a limited liability partnership, and (b) an entity established under the law of a territory outside the United Kingdom of a similar character to a partnership, and “member”, in relation to a partnership, is to be read accordingly;
- payment card
includes a credit card, a charge card and a debit card;
- payment card transaction
means any transaction in which a payment card is accepted as payment;
- Payment derived from securities
has the same meaning as in paragraph 14 (and “payment derived from bearer securities” is to be read accordingly).
- pension
includes— a an annuity under, or purchased with sums or assets held for the purposes of, or representing acquired rights under, a relevant non-UK scheme or an overseas pension scheme, b an amount paid under a relevant non-UK scheme or an overseas pension scheme which, if the scheme were a registered pension scheme, would be income withdrawal or dependants' income withdrawal (within the meaning of paragraphs 7 and 21 of Schedule 28 to FA 2004), and c if conditions A and B are met, a pension which is paid voluntarily or is capable of being discontinued.”
- pension scheme
has the same meaning as in Part 4 of FA 2004 (see section 150 of that Act);
- pension under a registered pension scheme
includes— (a) an annuity under, or purchased with sums or assets held for the purposes of, or representing acquired rights under, a registered pension scheme, and (b) income withdrawal or dependants' income withdrawal under a registered pension scheme.”
- pre-6 April 2011 annuity rights
means rights, which accrued before 6 April 2011, specifically to receive an annuity. 554W 1 This section applies if— a a relevant benefit is provided under a relevant scheme by way of a payment of a lump sum wholly out of rights which A has under the scheme, b A's rights out of which the lump sum is paid are, wholly or partly, pre-6 April 2011 lump sum rights, and c the payment of the lump sum is a relevant step within section 554C. 2 Chapter 2 does not apply by reason of the relevant step. 3 If A's rights out of which the lump sum is paid are only partly pre-6 April 2011 lump sum rights, the relevant step is to be treated for the purposes of this Part as being two separate relevant steps— a one in relation to the lump sum so far as it is paid out of rights which are pre-6 April 2011 lump sum rights, and b one in relation to the lump sum so far as it is paid out of rights which are not pre-6 April 2011 lump sum rights, with subsection (2) applying only in relation to the separate relevant step mentioned in paragraph (a). 4 In order to give effect to subsection (3), the lump sum is to be apportioned between the two separate relevant steps on a just
- pre-6 April 2011 lump sum rights
means rights, which accrued before 6 April 2011, specifically to receive relevant benefits by way of lump sum payments, • “relevant benefit” has the same meaning as in Chapter 2 of Part 6, and • “relevant scheme” means an employer-financed retirement benefits scheme (within the meaning of that Chapter) or a superannuation fund to which section 615(3) of ICTA applies. 554X 1 This section applies if rights which A has under a section 390 scheme are transferred to another section 390 scheme or to an overseas pension scheme. 2 This section also applies if— a rights which A has under an overseas pension scheme are transferred to another overseas pension scheme, and b some or all of the rights transferred are section 390 scheme rights. 3 Chapter 2 does not apply by reason of— a a relevant step within section 554C taken for the sole purpose of transferring the rights, or b a relevant step within section 554B taken by the transferee in relation to the transferred rights on their transfer. 4 Subsection (5) applies in relation to a transfer within subsection (2) if not all the transferred rights are section 390 scheme rights. 5 Any relevant step mentioned i
- previously charged amount
means— a the amount which counted as employment income of A under this Chapter as a result of this Chapter applying by reason of the original relevant step, or b any amount treated by section 222 as earnings of A in relation to the notional payment (within the meaning of that section) which B is treated as having made by virtue of the original relevant step. 7 Subsection (8) applies if, by virtue of this Chapter having applied by reason of the original relevant step, any tax liability of A or any other person arising from another event is reduced (including to nil) by virtue of section 554Z5 or 554Z13 or otherwise. 8 In determining what is a just and reasonable am
- Property, plant and equipment
has the meaning given, for the time being, by International Accounting Standard 16.
- provide
includes make available for inspection;
- public authority
means a person with functions of a public nature;
- qualifying central counterparty
means a central counterparty that has been either authorised or recognised under the EMIR Regulation, • “trade” means a transaction relating to the sale and purchase of a financial instrument or to the entering into of a derivative contract.
- qualifying charity-owned company
has the meaning given by section 939C(8) (except that paragraph (b) of that definition does not apply);
- qualifying work
means work which— a is done in the territory in which the controlled foreign company is resident, and b is done in that territory by individuals working for the controlled foreign company there. 10 A transaction with a company which is within the charge to United Kingdom tax only because it carries on a trade in the United Kingdom through a permanent establishment there is within subsection (8)(b) only if the transaction is attributable to activities carried on through that establishment. 11 For the purposes of subsections (8) and (9)— a section 751A(5), (6) and (9) applies as it applies for the purposes of the equivalent provisions of section 751A, and b paragraph 5(2) to (5) of Schedule 25 (residence of controlled foreign company) applies as it applies in relation to Part 2 of that Schedule. 12 In this section— • “finance income” has the meaning given by paragraph 12F(3) of Schedule 25 (with references to C read as references to the controlled foreign company);
- readily convertible asset
means anything mentioned in section 702(1)(a) to (c) of ITEPA 2003 (ignoring section 702(3)).
- Register
includes—
- regulated insurer
means an entity which— (a) is authorised under the law of any territory to carry on insurance business, or (b) is a member of a body or organisation which is so authorised;
- regulated market
has the same meaning as in Directive 2004/39/EC of the European Parliament and of the Council on markets in financial instruments (see Article 4.1(14)). 5 Condition C is that the company is not— a a venture capital trust (within the meaning of Part 6 of ITA 2007), or b a company UK REIT (within the meaning of Part 12 of this Act). 6 The Treasury may by regulations provide— a for one or both of conditions A and B to be treated as met in the cases, and subject to any conditions, specified in the regulations, and b for the period for which the condition or conditions are treated as met. 7 The Treasury may also by regulations amend subsection (3) or (4). 8 A statutory instrume
- related activities
means— (a) activities which are ancillary to insurance activities or asset management activities of any entity which is a member of the relevant group (whether or not the entity carrying on the insurance activities or asset management activities), and (b) activities which would not be carried on but for such insurance activities or asset management activities being carried on, but does not include dealing on own account;
- related-party business expenditure
means any expenditure, other than capital expenditure, which gives rise, directly or indirectly, to income of a person related to C;
- relevant accounting framework
means—
- relevant benefit
has the same meaning as in Chapter 2 of Part 6, and • “relevant scheme” means an employer-financed retirement benefits scheme (within the meaning of that Chapter) or a superannuation fund to which section 615(3) of ICTA applies. 554X 1 This section applies if rights which A has under a section 390 scheme are transferred to another section 390 scheme or to an overseas pension scheme. 2 This section also applies if— a rights which A has under an overseas pension scheme are transferred to another overseas pension scheme, and b some or all of the rights transferred are section 390 scheme rights. 3 Chapter 2 does not apply by reason of— a a relevant step within section 554C taken for the sole purpose of transferring the rights, or b a relevant step within section 554B taken by the transferee in relation to the transferred rights on their transfer. 4 Subsection (5) applies in relation to a transfer within subsection (2) if not all the transferred rights are section 390 scheme rights. 5 Any relevant step mentioned in subsection (3) is to be treated for the purposes of this Part as being two separate relevant steps— a one in relation to the section 390 scheme rights, and
- relevant benefits
has the same meaning as in Chapter 2 of Part 6, but ignoring section 393B(2)(a), • “relevant shares” means— (a) shares (including stock) in B, (b) instruments issued by B which are securities for the purposes of Chapters 1 to 5 of Part 7 within section 420(1)(b), or (c) units in a collective investment scheme (as defined in section 420(2)) managed by B which are securities for the purposes of Chapters 1 to 5 of Part 7 within section 420(1)(e), and • “trading company” means a company the business of which consists wholly or mainly in the carrying on of a trade. 5 If B is a member of a group of companies, in the definition of “relevant shares” in subsection (4) references to B are to be read as including references to any other company which is a member of that group. 6 For the purposes of sections 554K and 554M an exit event occurs if— a shares in the relevant company are admitted to trading on a stock exchange, b all the shares in the relevant company, or a substantial proportion of them, are disposed of to persons none of whom is connected with any of the persons making any disposal, c if the relevant company is a trading company (as defined in subsection (4)),
- relevant connected person
means a person with a connection (direct or indirect) to an arrangement (within the meaning of Part 7A of ITEPA 2003) by virtue of which the return arises.
- relevant data
means data of a kind specified for that type of data-holder in regulations made by the Treasury.
- Relevant date
means—
- relevant earnings
has the same meaning as in subsection (1)(a) of section 270B (see subsection (3) of that section), and • “excluded amounts” has the same meaning as in subsection (1)(b) of section 270B (see subsection (4) of that section). 4 In section 318A “the required time”, in the case of an employee, means— a if the employee joins the scheme under which the care is provided at a time during the tax year, that time, and b otherwise, the beginning of the tax year. 5 For the purposes of subsection (5)(a) the employee is taken to join the scheme as soon as— a the employer has agreed that care will be provided under the scheme for the employee, and b there is a child falling within sectio
- relevant equity and liabilities amount
means—
- Relevant failure
means— a in the case of section 748(1)(ba), one or both of the following— i a failure to satisfy the requirement of paragraph 12E of Schedule 25 (requirement as to company's UK connection) in circumstances where the requirement would be satisfied if the reference in sub-paragraph (3)(a) of that paragraph to 10% were a reference to 50%, and ii a failure to satisfy the requirement of paragraph 12F of that Schedule (finance income and relevant IP income) in circumstances where the relevant IP income of the controlled foreign company for the accounting period does not exceed 5% of the company's gross income for that period, and b in the case of section 748(1)(bb), a failure to satisfy the requirement of paragraph 12M of that Schedule (finance income). 3 The UK resident company may make an application to the Commissioners for Her Majesty's Revenue and Customs for the chargeable profits of the controlled foreign company for the relevant accounting period (“the chargeable profits”) to be reduced to an amount specified in the application (“the specified amount”).
- relevant flexible remuneration arrangements
means arrangements (whenever made) under which the employees for whom the vouchers are provided agree with the employer that they are to be provided with the vouchers rather than receive some other description of employment income;
- Relevant foreign bank
means an entity which—
- Relevant foreign tax
means—
- relevant group member
means—
- relevant housing provider
means a body which is— (a) a non-profit registered provider of social housing, or (b) entered on a register maintained under section 1 of the Housing Act 1996, section 20 of the Housing (Scotland) Act 2010 (asp 17) or Article 14 of the Housing (Northern Ireland) Order 1992 (S.I. 1992/1725 (N.I. 15)). 9 Section 200 of CTA 2010 (company wholly owned by a charity) applies for the purposes of subsection (8), and for those purposes references in that section to “charity” include a registered club within the meaning of section 658(6) of that Act. 10 This section is subject to section 809ZL (certain financial advantages to be ignored). 809ZK 1 This section applies for the purposes of Condition B. 2 Subsection (3) applies where the arrangements entered into by the linked person (as mentioned in Condition A) involve a transaction to which— a that or any other linked person (“X”), and b another person (“Y”), are parties. 3 X obtains a financial advantage from the charity to which the donation is made or a connected charity if— a the terms of the transaction are less beneficial to Y or more beneficial to X (or both) than those which might reasonably be expected in
- relevant income
means any income— a which, before the relevant time or the end of the vesting date (as the case may be)— i arises (directly or indirectly) from a sum of money or asset held by or on behalf of P representing any of the earmarked deferred remuneration, and ii is the subject of a relevant step within section 554B taken by P by reason of which Chapter 2 would apply apart from section 554Q, and b which, at the relevant time or the end of the vesting date (as the case may be), continues to be held by or on behalf of P on the basis mentioned in section 554B(1)(a) or (b). 554I 1 Sections 554J and 554K are about steps within section 554B taken in relation to awards of certain shares or securities or of sums of money determined by reference to the market value of certain shares or securities. 2 Sections 554L and 554M are about steps within section 554B taken in relation to grants of rights to acquire certain shares or securities or to receive sums of money determined by reference to the market value of certain shares or securities. 3 Sections 554J to 554M apply only if B is a company. 4 In those sections— • “relevant benefits” has the same meaning as in Chapter 2 of Part 6,
- Relevant insurance liabilities
means liabilities of a regulated insurer carrying on an insurance business which are—
- relevant intellectual property
means intellectual property which does not have a relevant UK connection (see paragraph 12J(3)) and which C exploits in the course of its main business. 12M The requirement of this paragraph is that not more than 5% of C's gross income for the accounting period consists of finance income (within the meaning of paragraph 12F(3)). 12N 1 For the purpose of this Part of this Schedule— • “intellectual property” is to be construed in accordance with paragraph 9(1A);
- Relevant IP income
means royalties and receipts of a similar nature arising from intellectual property. 5 For the purposes of sub-paragraph (3)(b), the amount of a return is the amount which by virtue of the return would, in calculating C's chargeable profits, be treated under section 486B of CTA 2009 (disguised interest to be regarded as profit from loan relationship) as a profit arising to C from a loan relationship. 6 But, in calculating that profit for the purposes of sub-paragraph (5), sections 486B(7) and 486C to 486E of CTA 2009 are to be ignored. 7 In this paragraph— • “economically equivalent to interest” is to be construed in accordance with section 486B(2) and (3) of CTA 2009;
- Relevant land
has the meaning given in section 173(2) of CAA 2001. 437C 1 For the purposes of section 437A, the present value of a lease is the present value of the amounts mentioned in subsection (2). 2 The amounts are— a the amounts payable under the lease after the relevant time, and b any residual amount. 3 Subsection (2)(a) does not apply to amounts payable by the lessor or to amounts that represent— a charges for services, or b qualifying UK or foreign tax to be paid by the lessor. 4 Present value is to be calculated by using the interest rate implicit in the lease. 5 The interest rate implicit in the lease is the interest rate that would apply in accordance with normal commercial cr
- relevant low-paid employees
means any of the employer's employees who are remunerated by the employer at a rate such that, if the relevant salary sacrifice arrangements or relevant flexible remuneration arrangements applied to them, the rate at which they would then be so remunerated would be likely to be lower than the national minimum wage.”
- relevant member
means—
- relevant non-discrimination provision
means a provision to the effect that the taxation on a permanent establishment of an enterprise of a state which is party to the arrangements (a “contracting state”) is not to be less favourably levied in any other contracting state than the taxation levied on enterprises of that other contracting state carrying on the same activities.”
- relevant preceding accounting period
means the accounting period in which the election under section 18A is made or an earlier accounting period ending less than 6 years before the end of that accounting period.”
- Relevant property, plant and equipment reserves
means equity amounts representing revaluation reserves relating to the revaluation of property, plant and equipment under International Accounting Standard 16 or Financial Reporting Standard 15.
- Relevant regulated activity
means an activity which is a regulated activity for the purposes of FISMA 2000 by virtue of any of the following provisions of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 ( S.I. 2001/544)—
- relevant retirement benefit liabilities
means liabilities under defined benefit plans within the meaning, for the time being, of International Accounting Standard 19.
- relevant salary sacrifice arrangements
means arrangements (whenever made) under which the employees for whom the care is provided give up the right to receive an amount of general earnings or specific employment income in return for the provision of the care;
- relevant scheme
means an employer-financed retirement benefits scheme (within the meaning of that Chapter) or a superannuation fund to which section 615(3) of ICTA applies. 554X 1 This section applies if rights which A has under a section 390 scheme are transferred to another section 390 scheme or to an overseas pension scheme. 2 This section also applies if— a rights which A has under an overseas pension scheme are transferred to another overseas pension scheme, and b some or all of the rights transferred are section 390 scheme rights. 3 Chapter 2 does not apply by reason of— a a relevant step within section 554C taken for the sole purpose of transferring the rights, or b a relevant step within section 554B taken by the transferee in relation to the transferred rights on their transfer. 4 Subsection (5) applies in relation to a transfer within subsection (2) if not all the transferred rights are section 390 scheme rights. 5 Any relevant step mentioned in subsection (3) is to be treated for the purposes of this Part as being two separate relevant steps— a one in relation to the section 390 scheme rights, and b one in relation to the rest of the transferred rights, with subsection
- relevant shares
means— (a) shares (including stock) in B, (b) instruments issued by B which are securities for the purposes of Chapters 1 to 5 of Part 7 within section 420(1)(b), or (c) units in a collective investment scheme (as defined in section 420(2)) managed by B which are securities for the purposes of Chapters 1 to 5 of Part 7 within section 420(1)(e), and • “trading company” means a company the business of which consists wholly or mainly in the carrying on of a trade. 5 If B is a member of a group of companies, in the definition of “relevant shares” in subsection (4) references to B are to be read as including references to any other company which is a member of that group. 6 For the purposes of sections 554K and 554M an exit event occurs if— a shares in the relevant company are admitted to trading on a stock exchange, b all the shares in the relevant company, or a substantial proportion of them, are disposed of to persons none of whom is connected with any of the persons making any disposal, c if the relevant company is a trading company (as defined in subsection (4)), the company's trade, or a substantial proportion of it, is transferred to a person who is not a releva
- relevant step
means a step within section 554B, 554C or 554D. 3 Subsection (1) is subject to subsection (4) and sections 554E to 554Y. 4 Chapter 2 does not apply by reason of a relevant step within section 554B taken on or after A's death. 5 In subsection (1)(b) and (c)(ii) references to A include references to any person linked with A. 6 For the purposes of subsection (1)(c) it does not matter if the relevant arrangement does not include details of the steps which will or may be taken in connection with providing, in essence, rewards or recognition or loans as mentioned (for example, details of any sums of money or assets which will or may be involved or details of how or when or by whom or in whose favour any step will or may be taken). 7 In subsection (1)(d) “relevant third person” means— a A acting as a trustee, b B acting as a trustee, or c any person other than A and B. 8 If B is a company and is a member of a group of companies at the time the relevant step is taken, in subsection (7) references to B are to be read as including references to any other company which is a member of that group at that time. 9 If B is a limited liability partnership, in subsection (7) referenc
- relevant sum or asset
means— a the sum of money or asset which is the subject of the original relevant step, or b a sum of money or asset which (directly or indirectly) has arisen or derived, or may arise or derive, from the sum of money or asset mentioned in paragraph (a). 4 The application for relief must be made within four years from the time when the relevant event occurs. 5 If an officer of Revenue and Customs is satisfied that the requirements in subsection (1) are met, the officer must give such relief as the officer considers just and reasonable (if any) in respect of income tax paid on any previously charged amount. 6 In subsection (5) “previously charged amount” means— a the amo
- relevant third person
means— a A acting as a trustee, b B acting as a trustee, or c any person other than A and B. 8 If B is a company and is a member of a group of companies at the time the relevant step is taken, in subsection (7) references to B are to be read as including references to any other company which is a member of that group at that time. 9 If B is a limited liability partnership, in subsection (7) references to B are to be read as including references to any company which is a wholly-owned subsidiary (as defined in section 1159(2) of the Companies Act 2006) of B at the time the relevant step is taken. 10 Neither subsection (8) nor subsection (9) applies if there is a connection (direct or indirect) between the relevant step and a tax avoidance arrangement. 11 For the purposes of subsection (1)(e)— a the relevant step is connected with the relevant arrangement if (for example) the relevant step is taken (wholly or partly) in pursuance of an arrangement at one end of a series of arrangements with the relevant arrangement being at the other end, and b it does not matter if the person taking the relevant step is unaware of the relevant arrangement. 12 For the purposes
- relevant time
means a time during the period which begins with the earliest, and ends with the latest, of the following times— a the time when the arrangements are entered into as mentioned in subsection (2);
- Relevant transaction
has the meaning given by paragraph 15E of Schedule 25 (and it does not matter if the transaction occurs pursuant to an agreement entered into by the controlled foreign company before the relevant time (within the meaning of paragraph 15G of that Schedule)).”
- relevant UK corporate investor in X
has the meaning given by paragraph 15B(2);
- Relevant uncrystallised funds
has the meaning given by paragraph 15(2).”
- relief
has the meaning given in section 70C, and b subsection (4C) of that section applies as it applies for the purposes of subsection (4B)(c) of that section.”
- relievable charity donation
means a gift or other disposal which— a is made by a person to a charity, and b is eligible for tax relief. 2 A gift or other disposal is eligible for tax relief if one or both of the following apply— a (ignoring the tainted donation provisions) tax relief would be available in respect of it under a relevant relieving provision;
- relievable gift
has the meaning given by section 550 of ITA 2007;
- relievable pension contribution
means a contribution in respect of which an individual is entitled to relief under section 188 of FA 2004, and • “tax-relieved contribution” has the meaning given by paragraph 3(3) of Schedule 34 to FA 2004. 554U 1 This section applies if the subject of a relevant step is a sum of money or asset which has (wholly or partly) arisen or derived (directly or indirectly) from a sum of money (“the taxed sum”)— a which was paid by B in accordance with an employer-financed retirement benefits scheme (within the meaning of Chapter 2 of Part 6) with a view to the provision of benefits under the scheme, and b in respect of which A is taxed. 2 For the purpose of determining whether A is taxed in respect of a sum of money, paragraph 53(3) of Schedule 36 to FA 2004 applies as it applies for the purpose of determining whether an employee is taxed for the purposes of paragraph 53(1)(b) of that Schedule. 3 Chapter 2 does not apply by reason of the relevant step. 4 Subsection (5) applies if the sum of money or asset which is the subject of the relevant step only partly arises or derives from the taxed sum. 5 The relevant step is to be treated for the purposes of thi
- remaining unused funds
means— a in relation to a cash balance arrangement, a sum equal to what would, on the valuation assumption in section 277(a), be available for the provision of benefits to or in respect of the member if the member became entitled to them on reaching the age of 75, and b in relation to any other arrangement, such of the sums and assets held for the purposes of the arrangement as are not member-designated funds and have not been applied towards the provision of a scheme pension or a dependants' scheme pension.”