[F159FArrangements for paying tax on behalf of group membersU.K.
(1)An officer of Revenue and Customs may enter into arrangements for the specified purpose with some or all of the members of a group.
(2)For the purposes of subsection (1), arrangements entered into with some or all of the members of a group are for “the specified purpose” if they are arrangements for one of those members to discharge any liability of each of those members to pay corporation tax for the accounting periods to which the arrangements relate.
(3)For the purposes of this section, a company and all its 51% subsidiaries form a group and, if any of those subsidiaries has 51% subsidiaries, the group includes them and their 51% subsidiaries, and so on.
(4)Arrangements entered into under subsection (1)—
(a)may make provision in relation to cases where companies become or cease to be members of a group,
(b)may make provision in relation to the discharge of liability to pay interest or penalties,
(c)may make provision in relation to the discharge of liability to pay any amount within subsection (6),
(d)may make provision for or in connection with the termination of the arrangements, and
(e)may make such supplementary, incidental, consequential or transitional provision as is necessary for the purposes of the arrangements.
(5)Arrangements entered into under subsection (1)—
(a)do not affect the liability to corporation tax, or to pay corporation tax, of any company to which the arrangements relate, and
(b)do not affect any other liability under the Tax Acts of any company to which the arrangements relate.
(6)The following amounts are within this subsection—
(a)an amount due from a company under section 455 of CTA 2010 (charge to tax in case of loan to participator in close company) as if it were an amount of corporation tax chargeable on the company, and
[F2(b)a sum charged on a company at step 5 in section 371BC(1) of TIOPA 2010 (controlled foreign companies) as if it were an amount of corporation tax, and]
[F3(c)the bank levy where treated as an amount of corporation tax chargeable on a company by paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy)].]
Textual Amendments
F1S. 59F inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 7 para. 79 (with Sch. 9 paras. 1-9, 22)
F2S. 59F(6)(b) substituted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 20 para. 13 (with Sch. 20 para. 50(9))
F3S. 59F(6)(c) and preceding word inserted (19.7.2011) by Finance Act 2011 (c. 11), Sch. 19 para. 59