F1PART 9AControlled foreign companies
Chapter 19Assumed taxable total profits, assumed total profits and the corporation tax assumptions
“The corporation tax assumptions”
371SQShares accounted for as liabilities: application of section 521C of CTA 2009
1
This section applies if—
a
applying the corporation tax assumptions apart from this section, section 521C of CTA 2009 (shares accounted for as liabilities) would, but for section 521C(1)(f) of that Act, apply to a share held by the CFC, and
b
the main purpose, or one of the main purposes, for which the CFC holds the share is to obtain a tax advantage within section 1139(2)(da) of CTA 2010 for any person by obtaining what would, applying the corporation tax assumptions apart from this section, be a relevant tax advantage in relation to the CFC.
2
Section 521C of CTA 2009 is to be assumed to apply to the share.
3
In subsection (1)(b) the reference to obtaining what would be a relevant tax advantage is to be read in accordance with section 521E(4) of CTA 2009.
4
This section is without prejudice to the generality of section 371SO.
Pt. 9A inserted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 20 para. 1 (with ss. 56-58)