IFM21010 | Real Estate Investment Trust : Background: Navigating the Legislation

The legislation in CTA 2010/ Part 12 runs from section 518 to section 609, In addition, more detailed rules are contained in four sets of regulations, SI 2006/2864 Real Estate Investment Trusts (Breach of Conditions) Regulations 2006, SI2006/2865 Real Estate Investment Trusts (Financial Statements of Group Real Estate Investment Trusts) Regulations 2006, SI2006/2867 Real Estate Investment Trusts (Assessment and Recovery of Tax) Regulations 2006, and 2009/3315 - Real Estate Investment Trusts (Prescribed Arrangements) Regulations 2009

CTA2010/S518 provides that in return for opting for the benefit of some exemptions from CT, the UK-REIT and its shareholders will have certain obligations and liabilities to tax imposed on them. This allows for a more purposive interpretation of the legislation, if any of its provisions are capable of more than one meaning.

Sections 519 to 522 set out the concept of a property rental business as it is applied to the REIT regime

Sections 523 to 609 deal with the conditions for joining/leaving the regime and being a UK REIT.