The Corporation Tax (Simplified Arrangements for Group Relief) (Amendment) Regulations 2018

Citation and commencement

1.  These Regulations may be cited as the Corporation Tax (Simplified Arrangements for Group Relief) (Amendment) Regulations 2018 and come into force on 30th January 2018.

Amendment of the Corporation Tax (Simplified Arrangements for Group Relief) Regulations 1999

2.  The Corporation Tax (Simplified Arrangements for Group Relief) Regulations 1999(1) are amended as follows.

3.  In regulation 2 (introductory)—

(a) the text from “for the” to the end becomes paragraph (a), and

(b) after paragraph (a) insert—

“, and

(b) the surrendering and claiming of group relief for carried-forward losses in relation to any accounting period of a claimant company beginning on or after 1st April 2017.”.

4.  In regulation 3 (interpretation)—

(a) in paragraph (1)—

(i) omit the definition of “the Board”,

(ii) in the definition of “claimant company”, for “section 402(1)” substitute “sections 130(2), 188CB(2) and 188CC(2)(2)”,

(iii) in the definition of “consortium company”, for “section 406(1)(b)” substitute “section 153”,

(iv) for the definition of “group of companies”, substitute—

““group of companies” has the meaning given by section 152;”,

(v) for the definition of “group relief”, substitute—

““group relief” shall be construed in accordance with Part 5;”,

(vi) after the definition of “group relief”, insert—

““group relief for carried-forward losses” shall be construed in accordance with Part 5A(3);”,

(vii) in the definition of “member of the consortium”, for “section 413(6)” substitute “section 153”, and

(b) in paragraph (2), for “, without more, are to that section of the Income and Corporation Taxes Act 1988(4)” substitute “or Part, without more, are to that section or Part of the Corporation Tax Act 2010(5)”.

5.  In regulation 6 (application by authorised company)—

(a) in paragraph (2)—

(i) in sub-paragraph (b), after “companies,” omit “and”,

(ii) after sub-paragraph (c) insert—

“, and

(d) whether the application relates to group relief, group relief for carried-forward losses, or both.”, and

(b) in paragraph (4)—

(i) in sub-paragraph (a), at the beginning insert “in the case of applications concerning group relief,”, and

(ii) after sub-paragraph (a), insert—

“(aa) in the case of applications concerning group relief for carried-forward losses, by a specimen copy of the statement referred to in regulation 10(2A) that the authorising company proposes to use for the purpose of making and withdrawing surrenders and claims on behalf of itself and the authorising companies;”.

6.  In regulation 7 (matters consequential to the making of an application)—

(a) in paragraphs (2) and (3), for “the officer” substitute “an officer”, and

(b) in paragraph (4)(d)—

(i) after “regulation 6(4)(a)” insert “or regulation 6(4)(aa)”, and

(ii) after “group relief” insert “or group relief for carried-forward losses (as applicable)”.

7.  In regulation 9A (group relief claims under the arrangements not accompanied by copy of notice of consent to surrender)—

(a) in the heading, for “Group relief claims” substitute “Claims”, and

(b) in paragraph (1), after “group relief” insert “or group relief for carried-forward losses”.

8.  In regulation 10 (group relief claims and surrenders under the arrangements)—

(a) in the heading, for “Group relief claims” substitute “Claims”,

(b) after paragraph (2) insert—

“(2A) The authorised company may from time to time furnish an officer of Revenue and Customs on behalf of itself and the authorising companies a statement in writing, in the form provided, or in a form authorised, by the Commissioners for Her Majesty’s Revenue and Customs, containing information necessary for the amendment in accordance with the provisions of Part VIII of Schedule 18 of the company tax returns of itself and the authorising companies for the purpose of making and withdrawing claims and surrenders of group relief for carried-forward losses.”,

(c) in paragraphs (3) and (4), for “paragraph (2)” substitute “paragraphs (2) or (2A)”,

(d) in paragraph (4)(a), after “claimed” insert “in the case of claims for group relief for carried-forward losses”,

(e) after paragraph (4)(a), insert—

“(aa) as regards the amount claimed in the case of claims for group relief, the same information as is specified in paragraph 68(1) to (4) of Schedule 18,”,

(f) in paragraph (4)(b), after “surrendered” insert “in the case of surrenders of group relief”,

(g) after paragraph (4)(b), insert—

“(bb) as regards the amount surrendered in the case of surrenders of group relief for carried-forward losses, the same information as is specified in paragraphs 71(1) and 71(1A) of Schedule 18,”,

(h) in paragraphs (5) and (6), after “paragraph (2)” insert “or paragraph (2A)”.

9.  Throughout the regulations—

(a) subject to paragraph (b), for “the Board” substitute “Revenue and Customs(6)”, and

(b) in regulations 5(2)(b), 11(1) and 11(2), and the second reference in regulation 10(2), for “the Board” substitute “the Commissioners for Her Majesty’s Revenue and Customs(7)”.

Andrew Griffiths

David Rutley

Two of the Lords Commissioners of Her Majesty’s Treasury

8th January 2018