Interest distributionsU.K.
The obligation to deduct taxU.K.
47.—(1) This regulation applies if an interest distribution is made for a distribution period to a participant chargeable to corporation tax.
(2) The deduction obligation does not apply to the interest distribution.
(3) But if the participant is a company which is the trustee of the trust to which (or under which) the interest distribution is made (or received), the deduction obligation is not excluded by virtue of paragraph (2).
(4) In its application to an interest distribution to a participant in respect of accumulation units, the deduction obligation is an obligation to deduct a sum out of the amount being invested on the participant's behalf.