Corporation Tax Act 2010 section 640

Relationship of Chapter with other corporation tax provisions

Section 640 establishes the priority of this Chapter's charge to corporation tax on winding up receipts from the deposit-taking trade over charges arising under other corporation tax provisions.

• Where a winding up receipt from a deposit-taking trade is chargeable to corporation tax under this Chapter, it cannot also be charged under any other provision
• This prevents the same receipt from being taxed twice under different parts of the corporation tax legislation
• This Chapter takes priority even over the loan relationship rules in section 464(1) of CTA 2009, which would otherwise have precedence
• The effect is that this Chapter is the sole basis for taxing qualifying winding up receipts from deposit-taking trades