Finance Act 2024

Chapter 5 of Part 3 (covered tax balance)

51 (1) In section 185(2)(a) (inclusion of existing deferred tax assets and liabilities on entry into regime), after “asset” insert “or liability”.

(2) In section 186 (deferred tax assets recorded at less than minimum rate)—

(a) for subsection (2) substitute—

“(2) But this section only applies in relation to a deferred tax asset of the member falling within subsection (1) if the filing member accounts for all such assets of the member in accordance with this section in an information return submitted to HMRC or a qualifying authority (see paragraph 10(5) of Schedule 14).”, and

(b) omit subsection (8).

(3) In section 187 (election for losses to be treated as special loss deferred tax assets), in subsection (6)—

(a) for paragraph (b) substitute—

“(b) the result of Step 2 in section 132(1) multiplied by 15%.”, and

(b) in the words after paragraph (b), for “where subsection (5) applies” substitute “in which the election has effect”.