Finance Act 2003 (c. 14)

Part 9 U.K. Miscellaneous and supplementary provisions

International matters U.K.

F1 197 Exchange of information between tax authorities of member States U.K.

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Textual Amendments

F1 S. 197 repealed (1.1.2013) by The European Administrative Co-Operation (Taxation) Regulations 2012 (S.I. 2012/3062), reg. 1(1), Sch.

F2 198 Arrangements for mutual exchange of tax information U.K.

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Textual Amendments

F2 S. 198 repealed (19.7.2006) by Finance Act 2006 (c. 25), Sch. 26 Pt. 8(2)

F3 199 Savings income: Community obligations and international arrangements U.K.

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Textual Amendments

F3 S. 199 repealed (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 7 para. 106, Sch. 10 Pt. 12 (with Sch. 9 paras. 1-9, 22)

200 Controlled foreign companies: exempt activities U.K.

(1) Schedule 42 to this Act (which amends Part 2 of Schedule 25 to the Taxes Act 1988 (exempt activities)) shall have effect.

(2) The amendments made by that Schedule have effect in relation to accounting periods of a controlled foreign company beginning on or after 27th November 2002.

(3) In this section “accounting period” and “controlled foreign company” have the same meaning as in Chapter 4 of Part 17 of the Taxes Act 1988.

(4) This section shall be taken to have come into force on 27th November 2002.

201 Application of CFC provisions to Hong Kong and Macao companies U.K.

(1) In Part 2 (exempt activities) of Schedule 25 to the Taxes Act 1988 (cases where section 747(3) does not apply), in paragraph 5 insert after sub-paragraph (2)—

“(3) In the case of a controlled foreign company—

(a) which is, by virtue of section 749(5), presumed to be resident in a territory in which it is subject to a lower level of taxation,

(b) the business affairs of which are, throughout the accounting period in question, effectively managed in a special administrative region, and

(c) which is liable to tax for that period in that region,

references in the following provisions of this Part of this Schedule to the territory in which that company is resident shall be construed as references to that region.

(4) In sub-paragraph (3) above “special administrative region” means the Hong Kong or the Macao Special Administrative Region of the People’s Republic of China.

(5) Where sub-paragraph (3) above applies, it applies in place of sub-paragraph (2).”.

(2) This section shall be deemed to have had effect—

(a) as from 1st July 1997, so far as relating to the Hong Kong Special Administrative Region;

(b) as from 20th December 1999, so far as relating to the Macao Special Administrative Region.