Corporation Tax Act 2009 section 239

Claim for repayment of tax payable by virtue of section 225

Section 239 allows a seller in a sale and leaseback arrangement to claim a repayment of corporation tax where the lease date was not fixed at the time of the sale.

• This section applies where there is a taxable receipt under the sale and leaseback rules in section 225 and the date for the grant of the lease was not fixed under the terms of the sale
• The seller can claim a repayment equal to the difference between the tax actually paid under section 225 and the tax that would have been payable if the actual lease grant date had been treated as the date fixed by the sale terms
• The claim must be made within 4 years after the day on which the lease was granted
• This provision ensures sellers are not overtaxed where the timing of the lease grant was uncertain at the point of sale