TTM02070 | Group arrangements: Representative group

HMRC recommends that a tonnage tax group should operate under a group arrangement (see TTM12000 onwards) as set out in FA00/SCH22/PARA120. A group arrangement will enable a nominated company to act as a representative of the group. This will reduce (although not eliminate) the need for administrative correspondence between HMRC and each individual company in the group, and make some aspects of the legislation much simpler to implement, for instance, the provisions of FA00/SCH22/PARA37 (75% chartered-in limit, see TTM050001 onwards).