(1)The principal company of a group UK REIT must notify an officer of Revenue and Customs as soon as reasonably practicable if a relevant Chapter 2 condition ceases to be met in relation to the principal company or (as the case may be) the group.
(2)A company UK REIT must notify an officer of Revenue and Customs as soon as is reasonably practicable if a relevant Chapter 2 condition ceases to be met in relation to the company.
(3)Each of the following is a “relevant Chapter 2 condition”—
conditions C and D in section 528 (conditions for company),
[F1the condition in section 528A (further condition relating to shares),]
conditions A and B in section 529 (property rental business),
the condition in section 530 (distribution of profits), and
conditions A and B in section 531 (balance of business).
(4)A notification under subsection (1) or (2) must include—
(a)the date on which the condition first ceased to be met and the date (if any) on which it was met again,
(b)a description of the breach, and
(c)details of the steps (if any) taken by the company to prevent a recurrence of the breach.
[F2(5)The following subsections apply in relation to condition D in section 528.
(6)In accordance with section 527(6) and (7), a notification does not have to be given under subsection (1) or (2) if condition D ceases to be met during the first 3-year period.
(7)If condition D is not met at the start of the first day after the end of the first 3-year period, for the purposes of subsections (1) to (4) condition D is treated as having ceased to be met at the start of that day.
(8)In subsections (6) and (7) “the first 3-year period” has the meaning given by section 527(8).]
Textual Amendments
F1Words in s. 561(3) inserted (with effect in accordance with Sch. 4 para. 21 of the amending Act) by Finance Act 2012 (c. 14), Sch. 4 para. 17
F2S. 561(5)-(8) inserted (with effect in accordance with Sch. 4 para. 13(2) of the amending Act) by Finance Act 2012 (c. 14), Sch. 4 para. 7