Section 35
SCHEDULE 15U.K.Tax treatment of financing costs and income
This
Atodlen has no associated
Nodiadau Esboniadol
Part 1U.K.Introduction
OverviewU.K.
1U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 2U.K.Application of this Schedule
Application of ScheduleU.K.
2U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
UK net debt of the worldwide group for period of account of worldwide groupU.K.
3U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Net debt of a companyU.K.
4U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Worldwide gross debt of worldwide group for period of account of worldwide groupU.K.
5U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
References to amounts disclosed in balance sheet of relevant group companyU.K.
6U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Qualifying financial services groupsU.K.
7U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Qualifying activitiesU.K.
8U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Lending activities and activities ancillary to lending activitiesU.K.
9U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Insurance activities and insurance related activitiesU.K.
10U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Relevant dealing in financial instrumentsU.K.
11U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
UK trading income of the worldwide groupU.K.
12U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Worldwide trading income of the worldwide groupU.K.
13U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Foreign currency accountingU.K.
14U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 3U.K.Disallowance of deductions
Application of Part and meaning of “total disallowed amount”U.K.
15U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “company to which this Part applies”U.K.
16U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Appointment of authorised company for relevant period of accountU.K.
17U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “the reporting body”U.K.
18U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated disallowances: submissionU.K.
19U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated disallowances: submission of revised statementU.K.
20U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated disallowances: requirementsU.K.
21U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated disallowances: effectU.K.
22U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Company tax returnsU.K.
23U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Power to make regulations about statement of allocated disallowancesU.K.
24U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Failure of reporting body to submit statement of allocated disallowancesU.K.
25U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Powers to make regulations in relation to reductions required under paragraph 25U.K.
26U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 4U.K.Exemption of financing income
Application of Part and meaning of “total disallowed amount”U.K.
27U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “company to which this Part applies”U.K.
28U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Appointment of authorised company for relevant period of accountU.K.
29U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “the reporting body”U.K.
30U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated exemptions: submissionU.K.
31U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated exemptions: submission of revised statementU.K.
32U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated exemptions: requirementsU.K.
33U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statement of allocated exemptions: effectU.K.
34U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Company tax returnsU.K.
35U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Power to make regulations about statement of allocated exemptionsU.K.
36U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Failure of reporting body to submit statement of allocated exemptionsU.K.
37U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Power to make regulations in relation to reductions required under paragraph 37U.K.
38U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Balancing payments between group companies: no charge to, or relief from, taxU.K.
39U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 5U.K.Intra-group financing income where payer denied deduction
Exemption from tax for certain financing income received from certain EEA companiesU.K.
40U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “relevant associate”U.K.
41U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “tax-resident” and “EEA territory”U.K.
42U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Qualifying EEA tax relief for payment in the current period or a previous periodU.K.
43U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Qualifying EEA tax relief for payment in future periodU.K.
44U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
References to tax of a territoryU.K.
45U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Financing income amounts of a companyU.K.
46U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 6U.K.Anti-avoidance
Schemes involving manipulation of rules in Part 2U.K.
47U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Schemes involving manipulation of rules in Parts 3 and 4U.K.
48U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “relevant net deduction”U.K.
49U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Calculation of amountsU.K.
50U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “carried-back amount” and “carried-forward amount”U.K.
51U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Schemes involving manipulation of rules in Part 5U.K.
52U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “scheme” and “excluded scheme”U.K.
53U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 7U.K.“Financing expense amount” and “financing income amount”
The financing expense amounts of a companyU.K.
54U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
The financing income amounts of a companyU.K.
55U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interpretation of paragraphs 54 and 55U.K.
56U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Group treasury companiesU.K.
57U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Real estate investment trustsU.K.
58U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Companies engaged in oil extraction activitiesU.K.
59U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Intra-group short-term finance: financing expenseU.K.
60U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Intra-group short-term finance: financing incomeU.K.
61U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Short-term loan relationshipsU.K.
62U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Stranded deficits in non-trading loan relationships: financing expenseU.K.
63U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Stranded deficits in non-trading loan relationships: financing incomeU.K.
64U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Stranded management expenses in non-trading loan relationships: financing expenseU.K.
65U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Stranded management expenses in non-trading loan relationships: financing incomeU.K.
66U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
CharitiesU.K.
67U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Educational and public bodiesU.K.
68U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interpretation of paragraphs 57 to 68U.K.
69U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 8U.K.The “tested expense amount” and “tested income amount”
The tested expense amountU.K.
70U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
The tested income amountU.K.
71U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Companies with net financing deduction or net financing income that is smallU.K.
72U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 9U.K.The “available amount”
The available amountU.K.
73U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Group members with income from oil extraction subject to particular tax treatment in UKU.K.
74U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Group members with income from shipping subject to particular tax treatment in UKU.K.
75U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Group members with income from property rental subject to particular tax treatment in UKU.K.
76U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of accounting expressions used in this PartU.K.
77U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 10U.K.Other interpretative provisions
The worldwide groupU.K.
78U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “group”U.K.
79U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “ultimate parent”U.K.
80U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “corporate entity”U.K.
81U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “relevant non-corporate entity”U.K.
82U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Treatment of entities stapled to corporate entities or relevant non-corporate entitiesU.K.
83U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Treatment of business combinationsU.K.
84U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “large” in relation to a groupU.K.
85U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “UK group company” and “relevant group company”U.K.
86U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Financial statements of the worldwide groupU.K.
87U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Non-compliant financial statements of worldwide groupU.K.
88U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Non-existent financial statements of worldwide groupU.K.
89U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
References to amounts disclosed in financial statementsU.K.
90U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Translation of amounts disclosed in financial statements into sterlingU.K.
91U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Expressions taking their meaning from international accounting standardsU.K.
92U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “relevant accounting period”U.K.
93U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Meaning of “the Commissioners” and “HMRC”U.K.
94U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 11U.K.Consequential amendments and commencement
Consequential amendmentsU.K.
95U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
96U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
CommencementU.K.
97U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Anti-avoidance: change of period of account of worldwide groupU.K.
98U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Transitional provisionU.K.
99U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .