Taxation of Chargeable Gains Act 1992

[F1 10B Non-resident company with United Kingdom permanent establishment U.K.

(1) Subject to any exceptions provided by this Act, the chargeable profits for the purposes of corporation tax of a company not resident in the United Kingdom but carrying on a trade in the United Kingdom through a permanent establishment there include chargeable gains accruing to the company on the disposal of—

(a) assets situated in the United Kingdom and used in or for the purposes of the trade at or before the time the gain accrued, or

(b) assets situated in the United Kingdom and used or held for the purposes of the permanent establishment at or before the time the gain accrued or acquired for use by or for the purposes of the permanent establishment.

(2) Subsection (1) does not apply unless the disposal is made at a time when the company is carrying on a trade in the United Kingdom through a permanent establishment there.

(3) This section does not apply to a company that, by virtue of [F2 Part 2 of TIOPA 2010 (double taxation relief)], is exempt from corporation tax for the chargeable period in respect of the profits of the permanent establishment.

[F3 (3A) This section applies to an overseas life insurance company in the case of its long-term business with the omission from subsection (1)(b) of the words “situated in the United Kingdom and”.]

[F4 (4) In this section—

(a) references to a trade include an office, and

(b) references to carrying on a trade include holding an office.]]

Textual Amendments

F1 S. 10B inserted (with effect in accordance with s. 149(6) of the amending Act) by Finance Act 2003 (c. 14), s. 149(4)

F2 Words in s. 10B(3) substituted (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. 8 para. 42 (with Sch. 9 paras. 1-9, 22)

F3 S. 10B(3A) inserted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 16 para. 73

F4 S. 10B(4) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 360 (with Sch. 2 Pts. 1, 2)

Modifications etc. (not altering text)

C1 S. 10B applied (with modifications) (with effect in accordance with art. 1(2)(3), Sch. 1 of the amending S.I.) by The Offshore Funds (Tax) Regulations 2009 (S.I. 2009/3001), regs. 1(1), 22(1)(c)(4)

C2 S. 10B extended by The Authorised Investment Funds (Tax) Regulations 2006 (S.I. 2006/964), reg. 85O (as inserted (with effect in accordance with reg. 1(2) of the amending S.I.) by S.I. 2010/294, regs. 1(1), 21)