Section 151O — Taxation of Chargeable Gains Act 1992: Provision not at arm's length: exclusion of arrangements from sections 151J to 151N

Provision not at arm's length: exclusion of arrangements from sections 151J to 151N 151O 1 Arrangements to which this section applies are not—

a purchase and resale arrangements, b diminishing shared ownership arrangements, c deposit arrangements, d profit share agency arrangements, or e investment bond arrangements.

2 This section applies to arrangements if—

a apart from this section they would be alternative finance arrangements, b subsection (3) or (5) of section 147 of TIOPA 2010 (tax calculations to be based on arm's length, not actual, provision) requires the profits and losses of a person who is a party to the arrangements to be calculated for tax purposes as if the arm's length provision (within the meaning of that section) had been made or imposed rather than in accordance with the arrangements, c any person who is an affected person for the purposes of Part 4 of that Act (“the affected person”) is entitled to—

i relevant return in relation to the arrangements, or ii an amount representing relevant return in relation to them, and d the affected person is not subject—

i to income tax or corporation tax, or ii to any corresponding tax under the law of a territory outside the United Kingdom, on the relevant return or the amount representing it.

3 In this section “ relevant return ”, in relation to arrangements, means any amount which would be alternative finance return if the arrangements were alternative finance arrangements.