Capital Allowances Act 2001 section 66E

SME partnership leaving NI corporation tax regime

Section 66E extends the rules for SME companies leaving the Northern Ireland corporation tax regime so that they also apply to partnerships with corporate partners.

• Where a partnership ceases to qualify under the Northern Ireland corporation tax regime, the same consequences apply as when a company leaves the regime, but adapted for partnerships.
• References to a company in the equivalent company rules are read as references to a partnership for these purposes.
• References to an SME (Northern Ireland employer) company or a NIRE company are read as references to the corresponding partnership classifications (Northern Ireland Chapter 6 firm and Northern Ireland Chapter 7 firm respectively).
• The relevant qualifying activities provision is adjusted from section 15(2ZA) to section 15(2ZB) to reflect the partnership context.