Part 5Group relief
Chapter 3Surrenders made by non-UK resident company resident or trading in the EEA
Other rules, assumptions and exclusions
127Amounts excluded because of certain arrangements
(1)
An amount (or part of an amount) resulting from Step 4 in section 113 is excluded if—
(a)
it is not attributable for corporation tax purposes to any permanent establishment through which the surrendering company carries on a trade in the United Kingdom, and
(b)
the following condition is met.
(2)
The condition is that the amount (or part)—
(a)
would not have resulted from Step 4 but for any arrangements within subsection (3), or
(b)
would not have arisen to the surrendering company but for any such arrangements.
(3)
Arrangements are within this subsection if their main purpose, or one of their main purposes, is to secure that the amount (or part) may be surrendered for the purposes of group relief.
(4)
“Arrangements” includes any agreement, understanding, scheme, transaction or series of transactions (whether or not legally enforceable).