Corporation Tax Act 2010

[F1 The surcharge U.K.

Textual Amendments

F1 Pt. 7A Ch. 4 inserted (with effect in accordance with Sch. 3 Pt. 3 of the amending Act) by Finance (No. 2) Act 2015 (c. 33), Sch. 3 para. 1

269DA Surcharge on banking companies U.K.

(1) If a company is a banking company in relation to an accounting period (a “chargeable accounting period”), a sum equal to [F2 3%] of its surcharge profits for the period, so far as they exceed its surcharge allowance for the period, is to be charged on the company as if it were an amount of corporation tax chargeable on the company.

(2) For the purposes of this Chapter, a company's “surcharge profits” for a chargeable accounting period are—

TTP + NBGR + [F3 NBGRCF +] NBPLR + [F4 NBTILR +] RTOG − NBTIG − RDEC

where—

“TTP” is the taxable total profits of the company of the chargeable accounting period;

“NBGR” is the amount (if any) of non-banking group relief that is given in determining those taxable total profits (see section 269DB);

[F5 “NBGRCF” is the amount (if any) of non-banking group relief for carried-forward losses that is given in determining those taxable total profits (see section 269DBA);]

“NBPLR” is the amount (if any) of non-banking or pre-2016 loss relief (see section 269DC);

[F6 “NBTILR” is the amount (if any) of non-banking transferred-in loss relief (see section 269DCA);]

“RTOG” means the sum of any relevant transferred-out gains (see section 269DD);

“NBTIG” means the sum of any non-banking transferred-in gains (see section 269DD);

“RDEC” means any amount brought into account by the company under Chapter 6A of Part 3 of CTA 2009 (trade profits: R&D expenditure credits) as a receipt in calculating the profits of a trade for the chargeable accounting period.

(3) A company's “surcharge allowance” for a chargeable accounting period is to be determined in accordance with section 269DE where, at any time in that period—

(a) the company is a member of a group, and

(b) one or more other banking companies are members of that group.

(4) Otherwise, a company's “surcharge allowance” for a chargeable accounting period is to be determined in accordance with section 269DJ.]

Textual Amendments

F2 Word in s. 269DA(1) substituted (1.4.2023 for accounting periods beginning on or after that date) by Finance Act 2022 (c. 3), s. 6(1)(3)

F3 Variable in formula in s. 269DA(2) inserted (with effect in accordance with Sch. 4 para. 190 of the amending Act) by Finance (No. 2) Act 2017 (c. 32), Sch. 4 para. 161(a)

F4 Word in s. 269DA(2) inserted (with effect in accordance with s. 33(6) of the amending Act) by Finance Act 2020 (c. 14), s. 33(3)(a)

F5 Words in s. 269DA(2) inserted (with effect in accordance with Sch. 4 para. 190 of the amending Act) by Finance (No. 2) Act 2017 (c. 32), Sch. 4 para. 161(b)

F6 Words in s. 269DA(2) inserted (with effect in accordance with s. 33(6) of the amending Act) by Finance Act 2020 (c. 14), s. 33(3)(b)