Distributions made by a company to which this Part applies shall be attributed—
(a)first, to payments in satisfaction of [F1Condition 3] of section 107,
(b)secondly, if or in so far as the company determines, to distribution of amounts which derive from activities of a kind in respect of which corporation tax is chargeable in relation to income,
(c)thirdly, to distribution of profits of the property rental business,
(d)fourthly, to distribution of gains accruing to C (tax-exempt) which by virtue of section 124 are not chargeable gains, and
(e)fifthly, to other distributions.
Textual Amendments
F1Words in s. 123(a) substituted (with effect as mentioned in s. 52(2) of the amending Act) by Finance Act 2007 (c. 11), s. 52, Sch. 17 para. 10