F1Part 1Capital gains tax and corporation tax on chargeable gains
Chapter 2Corporation tax on chargeable gains
Territorial scope
2BTerritorial scope of charge to corporation tax on chargeable gains
1
A company which is resident in the United Kingdom in an accounting period is chargeable to corporation tax on chargeable gains accruing to the company in the period on the disposal of assets wherever situated.
2
This is subject to Chapter 3A of Part 2 of CTA 2009 (exemption from charge in respect of profits of foreign permanent establishments).
3
A company which is not resident in the United Kingdom is chargeable to corporation tax on chargeable gains that—
a
accrue to the company on the disposal of assets situated in the United Kingdom that have a relevant connection to the company's UK permanent establishment (see section 2C),
b
accrue at a time when it has that permanent establishment, and
c
are, in accordance with sections 20 to 32 of CTA 2009, attributable to that permanent establishment.
4
In addition, a company which is not resident in the United Kingdom is chargeable to corporation tax on chargeable gains accruing to the company on the disposal of assets not within subsection (3) that are—
a
interests in UK land, or
b
assets (wherever situated) not within paragraph (a) that derive at least 75% of their value from UK land where the company has a substantial indirect interest in that land.
5
Section 1C applies for the purposes of subsection (4)(a) as it applies for the purposes of section 1A(3)(b) (disposing of interests in UK land).
6
The reference in subsection (4)(b) to assets deriving at least 75% of their value from UK land where the company has a substantial indirect interest in that land is to be read in accordance with Schedule 1A.
Pt. 1 substituted (with effect in accordance with Sch. 1 paras. 120, 123 of the amending Act) by Finance Act 2019 (c. 1), Sch. 1 para. 2