This is the original version (as it was originally enacted).
(1)Where any bodies corporate are treated as members of a group by virtue of this section, for the purposes of this Part—
(a)any liability of a member of the group to pay tax is to be taken to be a liability of the representative member,
(b)the representative member is to be taken to carry out any taxable activities which a member of the group would carry out (apart from this section) by virtue of section 18(2),
(c)all members of the group are jointly and severally liable for any tax due from the representative member.
(2)Two or more bodies corporate are eligible to be treated as members of a group if the condition mentioned in subsection (3) is fulfilled and—
(a)one of them controls each of the others,
(b)one person (whether a body corporate or an individual) controls them all, or
(c)two or more individuals carrying on a business in partnership control them all.
(3)The condition is that the prospective representative member has an established place of business in the United Kingdom.
(4)Two or more bodies corporate eligible to be treated as members of a group may apply to Revenue Scotland to be so treated.
(5)An application under subsection (4) must set out which of the bodies corporate is to be the representative member.
(6)Where an application referred to in subsection (4) is made—
(a)the bodies corporate are to be treated as a group from the beginning of an accounting period, and
(b)the body corporate set out in the application is to be the representative member,
unless Revenue Scotland refuses the application.
(7)Where any bodies corporate are treated as members of a group, an application may be made to Revenue Scotland to the effect that—
(a)a further body eligible to be treated as a member of the group is to be included among the bodies treated in that way,
(b)a body corporate is to be excluded from the bodies so treated,
(c)another member of the group is to be substituted as the representative member, or
(d)the bodies corporate are no longer to be treated as members of a group.
(8)Where an application referred to in subsection (7) is made, Revenue Scotland may—
(a)grant the application with effect from such time as Revenue Scotland specifies by written notice to the members of the group, or
(b)refuse the application.
(9)Revenue Scotland may refuse an application under subsection (4) or (7) only if it appears to it necessary to do so for the protection of the revenue.
(10)An application under this section with respect to any bodies corporate—
(a)must be made by one of those bodies or by the person controlling them, and
(b)must be made—
(i)not less than 90 days before the date from which it is to take effect, or
(ii)at such later time as Revenue Scotland may allow.
(11)For the purposes of this section and section 32—
(a)a body corporate is to be taken to control another body corporate if—
(i)it may, by virtue of an enactment, control that body's activities, or
(ii)it is that body's holding company within the meaning of section 1159 and schedule 6 of the Companies Act 2006 (meaning of “subsidiary” etc),
(b)an individual is or individuals are to be taken to control a body corporate if the individual or individuals would be that body's holding company within the meaning of the provisions mentioned in paragraph (a)(ii), were the individual or individuals a company.
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