Section 357KB — Corporation Tax Act 2010: “Qualifying trade”

“Qualifying trade” 357KB 1 “ Qualifying trade ” means a trade carried on by a company (otherwise than in partnership) where—

a the company is within the charge to corporation tax in relation to the trade, and b the trade is not an excluded trade.

2 If an election by a company for the purposes of this subsection has effect, “qualifying trade” also includes a trade carried on by the company (otherwise than in partnership) where—

a the trade is an excluded trade within—

i section 357XB (lending and investment),

ii section 357XC (investment management), or iii section 357XE (re-insurance trade),

and b the trade includes any back-office activities.

3 An election for the purposes of subsection (2)—

a must be made by notice to an officer of Revenue and Customs, b must specify the first accounting period (“the specified accounting period”) in relation to which it is to have effect, c must be made before the end of the period of 12 months beginning with the end of the specified accounting period, and d if made in accordance with paragraphs (a) to (c)—

i has effect in relation to the specified accounting period and subsequent accounting periods, and ii is irrevocable.

4 For the meaning of “excluded trade”, and for power to make provision about the meaning of “back-office activities”, see Chapter 17.