Finance Act 2008

Relationship with transfer pricing rules

10 (1) Paragraph 8 or 9 does not apply if the relevant consideration—

(a) falls to be adjusted for tax purposes under Schedule 28AA to ICTA, or

(b) falls within that Schedule without falling to be so adjusted.

(2) For the purposes of sub-paragraph (1)(b), the relevant consideration falls within Schedule 28AA to ICTA without falling to be adjusted under that Schedule if—

(a) the conditions in paragraph 1(1) of that Schedule are met, but

(b) either—

(i) the actual provision does not differ from the arm’s length provision, or

(ii) the exception in paragraph 8, 10 or 13 of that Schedule applies.

(3) In this paragraph “relevant consideration” means—

(a) in relation to paragraph 8, the consideration for the disposal of the stock, and

(b) in relation to paragraph 9, the consideration for the acquisition of the trading stock.