Corporation Tax Act 2010

662Exemption for UK trading incomeU.K.
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(1)A club which is a registered club throughout an accounting period may make a claim for its UK trading income for that period to be exempt from corporation tax if conditions A and B are met.

(2)Condition A is that the receipts which would (but for this section) be brought into account in calculating the club's UK trading income for that period do not exceed the relevant threshold.

(3)Condition B is that the whole of its UK trading income for that period is applied for qualifying purposes.

(4)If a club is a registered club for only part of an accounting period, this section has effect as if—

(a)that part were a separate accounting period, and

(b)the club's UK trading income and receipts for that separate accounting period were proportionately reduced.

(5)In this section “the relevant threshold” means—

(a)£30,000 in the case of an accounting period which is 12 months, and

(b)a proportionately reduced figure in the case of a shorter accounting period.

[F1(5A)The Treasury may by order amend the figure for the time being specified as the relevant threshold in subsection (5)(a).

(5B)A statutory instrument containing an order under subsection (5A) that amends that figure so as to substitute a lower figure may not be made unless a draft of the instrument has been laid before, and approved by a resolution of, the House of Commons.]

(6)In this section “UK trading income” means profits that (apart from this section) are chargeable under Chapter 2 of Part 3 of CTA 2009 and are—

(a)profits of a trade carried on wholly or partly in the United Kingdom, or

(b)profits of an activity other than a trade.

Textual Amendments

F1S. 662(5A)(5B) inserted (1.4.2010) by Finance Act 2013 (c. 29), Sch. 21 paras. 6, 9 (with Sch. 21 para. 10); S.I. 2015/674, art. 2