Part 4Savings and investment income
Chapter 3Dividends etc. from UK resident companies and tax credits etc. in respect of certain distributions
Tax credits and payment and deduction of tax
398Increase in amount or value of dividends where tax credit available
(1)
If a person is entitled to a tax credit F1under section 397 or 397A in respect of a dividend or other distribution, the amount or value of the dividend or other distribution is treated as increased by the amount of the tax credit for all income tax purposes (except F2sections 397(1) and F3397A(1) ).
(2)
Subsection (1) does not apply if the distribution is dealt with under Chapter 2 of Part 2 unless the trade consists of the underwriting business of a member of Lloyd's.