PART XVII TAX AVOIDANCE
C1CHAPTER IV CONTROLLED FOREIGN COMPANIES
F1748ATerritorial exclusions from exemption under section 748
1
Nothing in section 748 prevents an apportionment under section 747(3) falling to be made as regards an accounting period of a controlled foreign company if the company—
a
is a company incorporated in a territory to which this section applies as respects that accounting period; or
b
is at any time in that accounting period liable to tax in such a territory by reason of domicile, residence or place of management; or
c
at any time in that accounting period carries on business through a branch or agency in such a territory.
2
The condition in subsection (1)(c) above is not satisfied as regards an accounting period of a controlled foreign company if the business carried on by the company in that period through branches or agencies in territories to which this section applies, taken as a whole, is only a minimal part of the whole of the business carried on by the company in that period.
3
The territories to which this section applies as respects an accounting period of a controlled foreign company are those specified as such in regulations made by the Treasury.
4
Regulations under subsection (3) above—
a
may make different provision for different cases or with respect to different territories; and
b
may contain such incidental, supplemental, consequential or transitional provision as the Treasury may think fit.
5
A statutory instrument containing regulations under subsection (3) above shall not be made unless a draft of the instrument has been laid before, and approved by a resolution of, the House of Commons.
Pt. XVII Ch. IV (ss. 747-756) modified (27.7.1993) by 1993 c. 34, s. 119(3)