Section 229J | References to responsible members ^F1

(1)For the purpose of determining untaxed amounts of a member of a multinational group who is located in a territory in which a DIIR is in force, references in this Chapter to a responsible member are to be interpreted as if section 128 (responsible members) had effect with the following modifications—^F1

(a)in subsection (2) omit “that are not located in the territory the ultimate parent is located in”;^F1

(b)in subsection (3)(c), at the beginning insert “the intermediate parent,”;^F1

(c)in subsection (4) omit “that are not located in the territory it is located in”;^F1

(d)in subsection (5)(b), at the beginning insert “it or”;^F1

(e)in subsection (6) omit “that are not located in the same territory it is located in”;^F1

but this is subject to subsection (2).

(2)For the purpose of determining whether the top-up amount and additional top-up amounts of a member (“M”) of a multinational group for an accounting period are “potentially undertaxed”, a member of the group which—^F1

(a)is located in the same territory as M, and^F1

(b)would apart from this subsection be a responsible member,^F1

is to be regarded for all purposes of this Chapter as not being a responsible member unless a DIIR is in force for the accounting period in that territory.

(3)In this section “DIIR” means a tax which—^F1

(a)implements, in a Pillar Two territory, rules relating to top-up tax under the IIR (within the meaning of the Pillar Two rules), and^F1

(b)is designed so that tax charged under it is not limited to tax in respect of members who are located outside that territory.^F1