Section 938R — Corporation Tax Act 2010: Meaning of “relevant tax advantage” etc and “the scheme period”

Meaning of “relevant tax advantage” etc and “the scheme period” 938R 1 In this Part “ relevant tax advantage ”, in relation to a scheme, means an economic profit that—

a is made by the company over the scheme period, b meets the condition in subsection (3),

and c is not negligible.

2 In this Part “ relevant tax disadvantage ”, in relation to a scheme, means an economic loss that—

a is made by the company over the scheme period, b meets the condition in subsection (3),

and c is not negligible.

3 The condition is that the economic profit or loss arises as a result of asymmetries in the way that the company brings, or does not bring, amounts into account as debits and credits for the purposes of Part 5 or 7 of CTA 2009.

4 A reference in this section to asymmetries includes, in particular—

a asymmetries relating to quantification, and b asymmetries relating to timing.

5 In this section—

a a reference to an economic profit includes an increase in an economic profit and a decrease in an economic loss, and b a reference to an economic loss includes an increase in an economic loss and a decrease in an economic profit.

6 In this Part “ the scheme period ”, in relation to a scheme, means the period during which the scheme has effect.