Modifications etc. (not altering text)
C1Pt. 23 applied (with modifications) by 2003 c. 1, s. 554AC(3) (as inserted (with effect in accordance with Sch. 1 para. 14 of the amending Act) by Finance Act 2018 (c. 3), Sch. 1 para. 2)
Textual Amendments
F1Words in s. 1055 cross-heading substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), s. 154, Sch. 4 para. 165 (with Sch. 5)
(1)Interest paid by a [F3registered society] in respect of a mortgage, loan, loan stock or deposit is not a distribution for corporation tax purposes.
(2)If any dividend, bonus, interest or other sum—
(a)is paid to a shareholder in a [F3registered society] , and
(b)is payable by reference to the amount of the shareholder's holding in the society's share capital,
it is not a distribution for corporation tax purposes.
(3)Subsections (1) and (2) apply even if the amount in question would otherwise be a distribution by virtue of any enactment relating to corporation tax.
(4)For the purposes of this section crediting an amount counts as paying it.
(5)See also section 379(1) of ITTOIA 2005 (income tax treatment of sums payable as mentioned in subsection (2)).
Textual Amendments
F2Words in s. 1055 heading substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), s. 154, Sch. 4 para. 166 (with Sch. 5)
F3Words in Act substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), Sch. 4 para. 156 (with Sch. 5)