Section 863 | Asset becoming chargeable intangible asset

(1)This section applies if an asset becomes a chargeable intangible asset in relation to a company—

(a)on the company becoming UK resident,

(b)in the case of a company that is not UK resident, on the asset beginning to be held—^F1

(i)for the purposes of a trade carried on by the company in the United Kingdom through a permanent establishment,^F1

(ii)for the purposes of a trade carried on by the company of dealing in or developing UK land,^F2

(iii)for the purposes of a UK property business carried on by the company, or^F2

(iv)for the purposes of enabling the company to generate other UK property income (within the meaning given by section 5(6)), or^F2

(c)on the asset ceasing to be held for the purposes of a mutual trade or business.

(2)This Part applies as if—

(a)the company had acquired the asset immediately after it became a chargeable intangible asset in relation to the company, and

(b)had done so for its accounting value at that time.

(3)But subsection (2)(b) is subject to section 863A.^F3