Section 535 — Income Tax Act 2007: Exemption for offshore income gains

Exemption for offshore income gains 535 1 Offshore income gains accruing to a charitable trust are not taken into account in calculating total income.

2 Subsection (1) applies if the gain is applicable and applied to charitable purposes only.

3 In this section “ offshore income gain ” has the same meaning as in Chapter 5 of Part 2 of the Offshore (Tax) Funds Regulations 2009 ( S.I. 2009/3001 ) .

4 See regulation 31(3) to (5) of the Offshore Funds (Tax) Regulations 2009 ( S.I. 2009/3001 ) , which—

a applies where property held on charitable trusts ceases to be subject to charitable trusts, and b provides for any gain accruing under that subsection to be treated as an offshore income gain not accruing to a charity.