Section HM 31 — Income Tax Act 2007: Rules for multi-rate PIEs

HM 31 Rules for multi-rate PIEs Rules (1) A multi-rate PIE must— (a) attribute income arising from the proceeds of an investment to an investor, and pay tax on the income based on the investor's tax rates, see sections HM 34 to HM 40 : (b) calculate and pay its tax liability, choosing certain periods to do this, see sections HM 41 to HM 47 : (c) adjust investor interests of investors in the entity or distributions from the entity to reflect an amount of tax paid, see section HM 48 : (d) use tax credits received to satisfy the entity’s tax liability, in some cases providing any surplus credits to certain investors by making an adjustment described in paragraph (c), see sections HM 49 to HM 55 . Foreign investment PIEs (1B) For the provisions relating to the treatment of notified foreign investors in foreign investment PIEs, see sections HM 2(4) , HM 33 , HM 35C , HM 44B , HM 47(2B), (4), and (6) , HM 51 , HM 53 , HM 55C to HM 55H , HM 60 , HM 61(2) , HM 64(4) , and HM 65(5) . Further provisions related to payment options, tax rates, and exit periods (2) For the provisions relating to the options available to a multi-rate PIE for calculating and paying its tax liability, prescribed and notified investor rates for investors, and exit levels and periods, see sections HM 56 to HM 63 . Further provisions relating to use of losses (3) For the provisions relating to the use of losses by multi-rate PIEs, see sections HM 64 to HM 70 . Defined in this Act: exit level , exit period , foreign investment PIE , investor , investor interest , multi-rate PIE , notified foreign investor , notified investor rate , pay , prescribed investor rate , tax , tax credit Section HM 31: inserted, on 1 April 2010 (applying for the 2010–11 and later income years), by section 292(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section HM 31(1)(a): amended, on 29 August 2011, by section 66(1) of the Taxation (Tax Administration and Remedial Matters) Act 2011 (2011 No 63). Section HM 31(1)(c): amended (with effect on 1 April 2010), on 21 December 2010, by section 93 of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130). Section HM 31(1B) heading: inserted, on 29 August 2011, by section 66(2) of the Taxation (Tax Administration and Remedial Matters) Act 2011 (2011 No 63). Section HM 31(1B): inserted, on 29 August 2011, by section 66(2) of the Taxation (Tax Administration and Remedial Matters) Act 2011 (2011 No 63). Section HM 31 list of defined terms foreign investment PIE : inserted, on 29 August 2011, by section 66(3) of the Taxation (Tax Administration and Remedial Matters) Act 2011 (2011 No 63). Section HM 31 list of defined terms notified foreign investor : inserted, on 29 August 2011, by section 66(3) of the Taxation (Tax Administration and Remedial Matters) Act 2011 (2011 No 63).