27In section 211 (transfer of assets or liabilities to a member of a multinational group)—
(a)for subsection (1) substitute—
“(1)Subsection (1A) applies where there has been a transfer of assets or liabilities to a member of a multinational group and—
(a)the transfer forms part of a qualifying reorganisation (see section 212), or
(b)the transferor is a member of the group and—
(i)the transferee is located in the same territory as the transferor,
(ii)the transferee and transferor are included in the same tax consolidation group in that territory (within the meaning of section 164(5)), and
(iii)an election under section 164 (election to exclude intra-group transactions) has effect in relation to those members at the time of the transfer.
(1A)The value of the assets or liabilities is, for the purpose of determining the adjusted profits of the member, the carrying value of the assets or liabilities in the hands of the transferor immediately before the transfer.
(1B)Subsection (1C) applies where there has been a transfer of assets or liabilities to a member of a multinational group and subsection (1A) does not apply.
(1C)The value of the assets or liabilities is, for the purpose of determining the adjusted profits of the member, the carrying value of the assets or liabilities immediately after the transfer as determined under the accounting standard used in determining the underlying profits of the member for the purposes of this Part and subject to the adjustments to those profits made in accordance with Chapter 4.”, and
(b)in subsection (2)(a), for “subsection (1)(b) applies” substitute “subsection (1C) applies in relation”.