Finance Act 2000

2 (1) The following companies may, by notice under this Schedule, be required to pay the unpaid tax— U.K.

(a) any company which was, at any time in the relevant period, a member of the same group of companies as the taxpayer company;

(b) any company which, at any time in the relevant period, was a member of a consortium which at that time owned the taxpayer company;

(c) any company which, at any time in the relevant period, was a member of the same group of companies as a company which at that time was a member of a consortium owning the taxpayer company.

(2) In this Schedule “the relevant period”, in relation to an amount of unpaid corporation tax for an accounting period of the taxpayer company, means the period—

(a) beginning with whichever is the later of—

(i) twelve months before the start of that accounting period, and

(ii) 1st April 2000; and

(b) ending when the unpaid tax first became payable.

(3) Two companies shall be regarded as members of the same group of companies—

(a) for the purposes of sub-paragraph (1)(a), whenever one is the 51% subsidiary of the other or both are 51% subsidiaries of a third company;

(b) for the purposes of sub-paragraph (1)(c), whenever one would be treated as a member of the same group of companies as the other for the purposes of Chapter IV of Part X of the Taxes Act 1988 (group relief).

(4) For the purposes of this Schedule—

(a) a company shall be treated as a member of a consortium at any time when it would fall to be so treated for the purposes of Chapter IV of Part X of the Taxes Act 1988 (group relief); and

(b) references to a company being owned by a consortium shall be construed in the same way as any such references falling for the purposes of that Chapter to be construed in accordance with section 413(6)(b) of the Taxes Act 1988.