Part 2Charge to corporation tax: basic provisions

F1CHAPTER 3AUK RESIDENT COMPANIES: PROFITS OF FOREIGN PERMANENT ESTABLISHMENTS

Anti-diversion rule

F218ICThe low profit margin exemption

(1)

Chapter 13 of Part 9A of TIOPA 2010 (controlled foreign companies: the low profit margin exemption) applies for the purposes of section 18G(1)(c) with the following modifications.

(2)

In section 371MB—

(a)

subsection (2) is to be omitted, and

(b)

references to the CFC's accounting profits for an accounting period are to be read as references to the adjusted relevant profits amount determined before any deduction for interest.