Corporation Tax Act 2009

863Asset becoming chargeable intangible assetU.K.
This section has no associated Explanatory Notes

(1)This section applies if an asset becomes a chargeable intangible asset in relation to a company—

(a)on the company becoming UK resident,

(b)in the case of a company that is not UK resident, on the asset beginning to be held[F1

(i)]for the purposes of a trade carried on by the company in the United Kingdom through a permanent establishment,

[F2(ii)for the purposes of a trade carried on by the company of dealing in or developing UK land,

(iii)for the purposes of a UK property business carried on by the company, or

(iv)for the purposes of enabling the company to generate other UK property income (within the meaning given by section 5(6)),] or

(c)on the asset ceasing to be held for the purposes of a mutual trade or business.

(2)This Part applies as if—

(a)the company had acquired the asset immediately after it became a chargeable intangible asset in relation to the company, and

(b)had done so for its accounting value at that time.

[F3(3)But subsection (2)(b) is subject to section 863A.]

Textual Amendments

F1Words in s. 863(1)(b) renumbered as s. 863(1)(b)(i) (6.4.2020) by virtue of Finance Act 2019 (c. 1), Sch. 5 paras. 27(a), 35 (with Sch. 5 para. 36)

F2S. 863(1)(b)(ii)-(iv) inserted (6.4.2020) by Finance Act 2019 (c. 1), Sch. 5 paras. 27(b), 35 (with Sch. 5 para. 36)

F3S. 863(3) inserted (with effect in accordance with Sch. 8 para. 12(4) of the amending Act) by Finance Act 2019 (c. 1), Sch. 8 para. 12(2)