SCHEDULES
F1Schedule 23A MANUFACTURED DIVIDENDS AND INTEREST
F2Unapproved manufactured payments
Sch. 23A inserted by Finance Act 1991 (c. 31, SIF 63:1), s. 58, Sch. 13 para.1 (with effect as mentioned in s. 58(3) in relation to payments made on or after such day as may be specified: 26.2.1992 specified for certain purposes by S.I. 1992/173, reg.2; 30.6.1992 specified for certain purposes by S.I. 1992/1346, regs.2, 3, 4; 21.4.1993 specified for certain purposes by S.I. 1993/933, regs.2, 3(b), 4)
F36
1
This paragraph applies where a person makes an unapproved manufactured payment.
2
Where the unapproved manufactured payment is a manufactured dividend paid by a company, any advance corporation tax paid by the company in respect of the manufactured dividend—
a
shall not be set against any liability of the company to corporation tax as mentioned in section 239;
b
shall not be surrendered under, or otherwise treated as mentioned in, section 240; and
c
shall not be utilised in any other way for the purposes of the Tax Acts;
and no franked investment income of a company shall be used to frank (within the meaning of section 241(5)) the manufactured dividend.
3
F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5
If it appears to an inspector that, notwithstanding the foregoing provisions of this paragraph, franked investment income of a company has been used to frank a manufactured dividend which is an unapproved manufactured payment, he may make an assessment on the dividend manufacturer under sub-paragraph (3) of paragraph 3 of Schedule 13 and that sub-paragraph shall accordingly apply in relation to the amount of advance corporation tax in question.
6
F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7
F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Sch. 23A inserted by Finance Act 1991 (c. 31, SIF 63:1), s. 58, Sch. 13 para. 1 (with effect as mentioned in s. 58(3) in relation to payments made on or after such day as may be specified: 26.2.1992 specified for certain purposes by S.I. 1992/173, reg.2; 30.6.1992 specified for certain purposes by S.I. 1992/1346, regs.2, 3, 4; 21.4.1993 specified for certain purposes by S.I. 1993/933, regs.2, 3(b), 4)