Section 16 | Non-resident group of companies.

(1)This section has effect for the purposes of section 15 above.

(2)Sections 273 to 275 and 276(1) of the Taxes Act 1970 shall apply in relation to non-resident companies which are members of a non-resident group of companies, as they apply in relation to companies resident in the United Kingdom which are members of a group of companies.^F1

(3)Sections 278 and 279 of the Taxes Act 1970 shall apply for the said purposes as if for any reference therein to a group of companies there were substituted a reference to a non-resident group of companies, and as if references to companies were references to companies not resident in the United Kingdom.^F1

(4)For the purposes of this section—

(a)a “non-resident group” of companies—

(i)in the case of a group, none of the members of which are resident in the United Kingdom, means that group, and

(ii)in the case of a group, two or more members of which are not resident in the United Kingdom means the members which are not resident in the United Kingdom;

(b)“group” shall be construed in accordance with subsections (1) (without paragraph (a), (3) and (4) of section 272 of the Taxes Act 1970.^F1