Section 371AA | Overview of Part ^F1

(1)A charge (“the CFC charge”) is charged under this Part on UK resident companies which have certain interests in CFCs.

(2)The CFC charge is charged by reference to the chargeable profits of CFCs.

(3)A “CFC” is a non-UK resident company which is controlled by a UK resident person or persons (but see subsection (6)).

(4)Chapter 2 sets out the basic details of the CFC charge, including—

(a)the CFC charge gateway (through which profits of a CFC must pass in order to be chargeable profits), and

(b)the steps to be taken for charging the CFC charge.

(5)Chapter 2 is supplemented by Chapters 3 to 17; in particular—

(6)Chapter 18 explains the concept of “control” and also sets out certain cases in which a non-UK resident company is to be taken to be a CFC even though it is not controlled by a UK resident person or persons.

(7)Chapter 19 explains the concepts of “assumed taxable total profits”, “assumed total profits” and “the corporation tax assumptions” which are referred to in this Part.

(8)Chapter 20 contains rules for determining the territory in which a CFC is resident for the purposes of this Part.

(9)Chapter 21 contains provision about the management of the CFC charge, including the collection of sums charged.

(10)Chapter 22 contains supplementary provision, including definitions of terms used in this Part.

(11)Nothing in this Part affects—

(a)the liability to corporation tax of a non-UK resident company in accordance with section 5(2) and (3) of CTA 2009 (non-UK resident companies within the charge to corporation tax), or

(b)the determination of such a company's chargeable profits for corporation tax purposes in accordance with Chapter 4 of Part 2 of CTA 2009.

(12)This Part is part of the Corporation Tax Acts.