CTM41000 | Particular bodies: oil & gas companies

Companies which have an interest in the production of UK oil and gas are subject to special 'ring-fence' Corporation Tax rules in CTA10/PART8, as well as the Supplementary Charge (SC) and Energy Profits Levy (EPL).

Such companies may also be subject to Petroleum Revenue Tax (PRT).

In addition, all profits arising to a non-UK resident company from UK exploration or exploitation activities or rights are treated for CT purposes as profits of a trade carried on through a UK Permanent Establishment under CTA09/S1313. Detailed guidance is available in the HMRC Oil Taxation Manual (OTO).

Oil and Gas Contacts

Large Business Oil and Gas companies are managed in LB Scotland and Northern Ireland, which is also responsible for PRT.

Any company which owns oil and gas interests in the North Sea should, in the first instance, be referred to the oil and gas sector lead in LB Scotland and Northern Ireland: [email protected].

Some smaller oil industry companies and groups are dealt with in HMRC's Mid-sized Business Oil and Gas Team: [email protected].

Indirect tax of the larger oil industry groups is also dealt with in LB Scotland and Northern Ireland.

Activities associated with the oil industry

LB Scotland and Northern Ireland also deals with the mainstream CT liabilities of companies having a wide range of activities associated with the oil industry, including oil traders and companies providing oil related services to non-residents.