INTM170050 | Double Taxation Relief: Anti avoidance legislation: Effect of legislation

Where the trigger conditions are met, an officer of HMRC may issue a notice directing that the legislation applies. (See INTM170060 for details of how notices are issued.) The notice may also set out HMRC’s view of the just and reasonable amount of credit to be given for foreign tax. This amount should meet the following conditions:

• it should cancel any increase that results from the scheme or arrangement

• the amount of credit must be reduced to the point where none of the circumstances apply

• the remaining credit must relieve double taxation in accordance with the meaning and intention of treaties or, where appropriate, the legislation governing unilateral relief.