Corporation Tax Act 2010 section 487

Exemption for public revenue dividends

Section 487 provides a corporation tax exemption for income from government and public authority securities held by trustees, where that income is used exclusively to repair certain places of worship.

• Income from government or public authority securities held in the name of trustees can be exempt from corporation tax if applied solely to the repair of qualifying religious buildings
• Qualifying buildings include cathedrals, colleges, churches, chapels, and any building used only for the purposes of divine worship
• Public revenue dividends cover income paid out of UK or Northern Ireland public revenue, as well as income from securities issued by any government or public or local authority outside the United Kingdom
• The exemption is not automatic and must be claimed by the trustees