Part 11

Manufactured payments and repos
Chapter 2

Manufactured payments

Manufactured dividends on UK shares

Manufactured dividends on UK shares: Real Estate Investment Trusts
576
1
This section applies (instead of section 573(2) and (3)) if—
a
a person pays a manufactured dividend as mentioned in section 573(1), and
b
the manufactured dividend is representative of a dividend which is—
i
paid by a company to which Part 4 of FA 2006 applies (Real Estate Investment Trusts) in respect of profits of C (tax-exempt), or
ii
paid by the principal company of a group to which that Part applies in respect of profits of G (property rental business).
2
This section applies only so far as the manufactured dividend is representative of such a dividend.
3
The Income Tax Acts apply in relation to the recipient, and persons claiming title through or under the recipient, as if the manufactured dividend were a dividend to which section 121 of FA 2006 applied (distributions treated as UK property business profits).
4
This section is subject to—
a
section 583 (manufactured payments exceeding underlying payments), and
b
section 585 (power to deal with other special cases).