Part 8Oil activities
F1CHAPTER 3ARates at which corporation tax is charged on ring fence profits
Annotations:
Amendments (Textual)
The rates
279ACorporation tax rates on ring fence profits
1
Corporation tax is charged on ring fence profits at the main ring fence profits rate.
2
But subsection (3) provides for tax to be charged at the small ring fence profits rate instead of the main ring fence profits rate in certain circumstances.
3
Corporation tax is charged at the small ring fence profits rate on a company's ring fence profits of an accounting period if—
a
the company is UK resident in the accounting period,
F2ab
it is not a close investment-holding company in the period, and
b
its augmented profits of the accounting period do not exceed the lower limit.
4
In this Act—
“the main ring fence profits rate” means 30%, and
“the small ring fence profits rate” means 19%.
Pt. 8 Ch. 3A inserted (with effect in accordance with Sch. 1 para. 22 of the amending Act) by Finance Act 2014 (c. 26), Sch. 1 para. 5(3)