CTM34210 - Residence: non-resident companies: liability to CT
A company not resident in the UK is only chargeable to CT if it carries on a trade in the UK through a branch or agency. If it does, its chargeable profits are:
- any trading income arising directly or indirectly through or from the branch or agency,
- any income from property or rights used by, or held by or for, the branch or agency except dividends or other distributions received from companies resident in the UK,
- such chargeable gains accruing on the disposal of assets situated in the UK as are made chargeable to CGT in the case of an individual not resident or ordinarily resident in the UK by TCGA92/S10.
Where income within (a) or (b) arises abroad, cases IV and V of
Schedule D are for the purposes of CT extended to companies not
resident in the UK.
FA95/S126 - S127 and FA95/SCH23, which covers the assessment
and charge of IT on persons not resident in the UK, applies to
CT.
- For the machinery of assessment for non-residents apply ITH900 onwards with any necessary adaptations.
- The main guidance on company residence is at INTM120000 onwards.
- The main guidance on non-residents trading in the UK is at INTM260000 onwards.
- For the application of Double Taxation Agreements, see DT1700 onwards.
