UTT12100 - Scope: turnover and balance sheet
The legislation sets out the criteria that must be met for Uncertain Tax Treatment (UTT) to apply. This is as follows (paragraph 2):
(2) A company is a 바카라 사이트渜ualifying company바카라 사이트� in any financial year if, in the previous financial year, the company had either or both of the following -
(a) relevant UK turnover of more than 拢200 million.
(b) a relevant UK balance sheet total of more than 拢2 billion.
There are specific rules defining the relevant UK turnover and UK balance sheet amount when the company is in a group. The definition of a group for UTT is discussed in UTT12200.
For a company that is not a member of a group at the end of the previous financial year, sub-paragraph 3 states:
(a) 바카라 사이트渞elevant UK turnover바카라 사이트� means the company바카라 사이트檚 UK turnover, and
(b) 바카라 사이트渞elevant UK balance sheet total바카라 사이트� means the company바카라 사이트檚 UK balance sheet total.
However, if the company was a member of a group at the end of the previous financial year then UK turnover and balance sheet total are widened:
(4) If the company was a member of a group at the end of the previous financial year바카라 사이트�
(a) 바카라 사이트渞elevant UK turnover바카라 사이트� means the aggregate UK turnover of the company (바카라 사이트淐바카라 사이트�) and any other company that was바카라 사이트�
(i) a member of the same group as C at the end of C바카라 사이트檚 previous financial year, and
(ii) within the charge to corporation tax on income at any time during C바카라 사이트檚 previous financial year, and
(b) 바카라 사이트渞elevant UK balance sheet total바카라 사이트� means the aggregate UK balance sheet totals of C and any such other company.
If the financial year of a company that was a member of the same group as the qualifying company does not end on the same date, the figures to include for that company should be drawn from the last financial year that ended before the end of the qualifying company바카라 사이트檚 financial year.
(6) The Treasury may set regulations that a company of a specific description is not a qualifying company for the purposes of UTT.
바카라 사이트淭urnover바카라 사이트� is considered as its usual definition under the Companies Act 2006 Part 15. 바카라 사이트淯K turnover바카라 사이트� in the legislation for UTT (in paragraph 7(2)) is defined as:
(a) in relation to a UK resident company, all its turnover.
(b) in relation to a non-UK resident company, so much of its turnover as, on a just and reasonable apportionment, is attributable to the activities in respect of which the company is within the charge to corporation tax on income.
(c) in relation to a UK resident partnership, all its turnover.
(d) in relation to a non-UK resident partnership, so much of its turnover as, on a just and reasonable apportionment, is attributable to any permanent establishment that it has in the United Kingdom.
바카라 사이트淏alance sheet total바카라 사이트� in relation to a company or partnership and a financial year is the aggregate of assets shown in the balance sheet at the end of the financial year. 바카라 사이트淯K balance sheet total바카라 사이트� is (in paragraph 7(4)):
(a) in relation to a UK resident company, its balance sheet total.
(b) in relation to a non-UK resident company, so much of its balance sheet total as, on a just and reasonable apportionment, is attributable to the activities in respect of which the company is within the charge to corporation tax on income.
(c) in relation to a UK resident partnership, its balance sheet total.
(d) in relation to a non-UK resident partnership, so much of its balance sheet total as, on a just and reasonable apportionment, is attributable to any permanent establishment that it has in the United Kingdom.