Section 835L — Income Tax Act 2007: The independent broker conditions

The independent broker conditions 835L 1 The independent broker conditions are met in relation to a transaction carried out on behalf of a non-UK resident by a broker in the United Kingdom if conditions A to D are met.

2 Condition A is that at the time of the transaction the broker is carrying on the business of a broker.

3 Condition B is that the transaction is carried out in the ordinary course of that business.

4 Condition C is that the remuneration which the broker receives in respect of the transaction for the provision of the services of a broker to the non-UK resident is not less than is customary for that class of business.

5 Condition D is that the broker does not fall (apart from this subsection) to be treated under this Chapter, or under Chapter 1 of Part 7A of TCGA 1992, as a UK representative of the non-UK resident in relation to any amounts that—

a are not included in transaction income in relation to the transaction (see section 835H(2) and (3)),

and b are chargeable to tax for the same tax year as that transaction income.