Part 14Income tax liability: miscellaneous rules
Chapter 1Limits on liability to income tax of non-UK residents
The independent broker conditions
817The independent broker conditions
(1)
The independent broker conditions are met in relation to a transaction carried out on behalf of a non-UK resident by a broker in the United Kingdom if—
(a)
conditions A to D are met, if this section applies for the purposes of section 813, or
(b)
conditions A to C and E are met, if this section applies for the purposes of section 816.
(2)
Condition A is that at the time of the transaction the broker is carrying on the business of a broker.
(3)
Condition B is that the transaction is carried out by the broker in the ordinary course of that business.
(4)
Condition C is that the remuneration which the broker receives in respect of the transaction for the provision of the services of a broker to the non-UK resident is not less than is customary for that class of business.
(5)
Condition D is that the broker does not fall for the purposes of section 126 of, and Schedule 23 to, FA 1995 to be treated as a UK representative of the non-UK resident in relation to any other income which is chargeable to income tax, or amounts which are chargeable to capital gains tax, for the same tax year as the transaction income.
(6)
Condition E is that the broker does not fall to be treated as a permanent establishment of the non-UK resident company in relation to any other transaction of any kind carried out in the same accounting period of the non-UK resident company as the transaction in question.