Corporation Tax Act 2009 section 1313

Activities in UK sector of continental shelf

Section 1313 explains how profits from exploration and exploitation activities on the UK continental shelf are treated for corporation tax purposes, ensuring they are taxed as UK profits.

• Profits from exploring or exploiting natural resources on the UK continental shelf are treated as profits from activities or property in the United Kingdom.
• Profits from rights to assets produced by such exploration or exploitation activities are also treated as UK profits.
• If a non-UK resident company earns profits from these activities or rights, those profits are treated as if the company were trading in the UK through a permanent establishment.
• The UK sector of the continental shelf covers the seabed and subsoil areas designated under the Continental Shelf Act 1964.