C1C2Part 2Double taxation relief
Pt. 2 applied by 2010 c. 4, s. 269DL(6) (as 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)
CHAPTER 1Double taxation arrangements and unilateral relief arrangements
Unilateral relief arrangements
9Rule 1: the unilateral entitlement to credit for non-UK tax
1
Credit for tax—
a
paid under the law of the territory,
b
calculated by reference to income arising, or any chargeable gain accruing, in the territory, and
c
corresponding to UK tax,
is to be allowed against any income tax or corporation tax calculated by reference to that income or gain.
2
Credit for tax—
a
paid under the law of the territory,
b
calculated by reference to any capital gain accruing in the territory, and
c
corresponding to UK tax,
is to be allowed against any capital gains tax calculated by reference to that gain.
3
For the purposes of subsection (1), profits from, or remuneration for, personal or professional services performed in the territory are to be treated as income arising in the territory.
4
For the purposes of subsection (1)(c), tax corresponds to UK tax if—
a
it is charged on income and corresponds to income tax, or
b
it is charged on income or chargeable gains and corresponds to corporation tax.
5
For the purposes of subsection (2)(c), tax corresponds to UK tax if it is charged on capital gains and corresponds to capital gains tax.
6
For the purposes of subsections (4) and (5), tax may correspond to income tax, corporation tax or capital gains tax even though it—
a
is payable under the law of a province, state or other part of a country, or
b
is levied by or on behalf of a municipality or other local body.
7
If the territory is the Isle of Man or any of the Channel Islands, subsections (1)(b) and (2)(b) have effect with the omission of “in the territory”.
8
Subsections (1) and (2) are subject to sections 11 and 12.
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))