Section 630 | Company in administration: corporation tax rates

(1)This section applies, in the case of a company in administration, in relation to profits of the company arising in its final year (see subsections (2) to (5)) or its penultimate year (see subsections (6) and (7)).

(2)The rate of corporation tax to be applied in assessing, before the dissolution event in respect of the company, the corporation tax chargeable on the profits of the company arising in the administration in its final year is to be determined in accordance with subsections (3) to (5).

(3)If the main rate of corporation tax has been fixed for the final year, that fixed rate is to be applied.

(4)If the main rate of corporation tax has been proposed (but not yet fixed) for the final year, that proposed rate is to be applied.

(5)If the rate of corporation has been neither fixed nor proposed for the final year, the rate fixed or proposed for the penultimate year is to be applied.

(6)Subsection (7) applies if—

(a)the company entered administration before its final year, and

(b)an assessment to corporation tax is made at a time when the main rate of corporation tax for the company's penultimate year is proposed (but not yet fixed).

(7)The rate of corporation tax proposed for the penultimate year is to be applied in relation to the profits of the company arising in the administration at any time in that year.