Corporation Tax Act 2010 section 300

Effect of repayment of PRT: general rule

Section 300 deals with what happens when petroleum revenue tax (PRT), which was previously deducted under section 299(2), is subsequently repaid in whole or in part.

• Where PRT that was previously deducted is later repaid, the original deduction must be reduced or cancelled entirely to reflect the repayment.
• The adjustment applies to the original period in which the deduction was given, not the period in which the repayment was received.
• HMRC may raise an additional corporation tax assessment to give effect to the adjustment at any time within four years after the end of the calendar year in which the PRT was repaid.
• This general rule is subject to a special rule in section 301, which may modify its application in certain circumstances.