C1Part 2Double taxation relief

Annotations:
Modifications etc. (not altering text)
C1

Pt. 2 modified by 1988 c. 1, Sch. 19ABA paras. 26-28 (as inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 34(3) (with Sch. 9 paras. 1-9, 22))

CHAPTER 2Double taxation relief by way of credit

Limits on credit: general rules

33Limit on credit: minimisation of the foreign tax

1

The credit under section 18(2) must not exceed the credit which would be allowed had all reasonable steps been taken—

a

under the law of the non-UK territory, and

b

under double taxation arrangements made in relation to that territory,

to minimise the amount of tax payable in that territory.

2

The steps mentioned in subsection (1) include—

a

claiming, or otherwise securing the benefit of, reliefs, deductions, reductions or allowances, and

b

making elections for tax purposes.

3

For the purposes of subsection (1), any question as to the steps which it would have been reasonable for a person to take is to be determined on the basis of what the person might reasonably be expected to have done in the absence of relief under this Part.