Corporation Tax Act 2010 section 774

Accounts

Section 774 sets out how accounts are to be interpreted and treated for the purposes of the chapter dealing with tax avoidance involving financial arrangements.

• References to a company's accounts include the consolidated group accounts of any group of which it is a member.
• When determining whether an advance is recorded as a financial liability, the accounting period is treated as ending immediately after receipt of the advance.
• If a person does not prepare accounts under generally accepted accounting practice (GAAP), it is assumed that they did.
• These rules apply throughout the entire chapter and ensure a consistent basis for analysing financial arrangements.