Corporation Tax Act 2010 section 939A

Overview of Part

Section 939A introduces the provisions of Part 21C, which deal with the removal of corporation tax reliefs where a charitable donation is found to be a tainted donation.

• Part 21C removes entitlement to corporation tax reliefs where a person makes a relievable charity donation that is classified as a tainted donation.
• A tainted donation is one where the charitable donation is linked to arrangements that result in the donor or a connected person receiving a benefit.
• Equivalent rules exist for income tax purposes in the Income Tax Act 2007 and for capital gains tax purposes in section 257A of the Taxation of Chargeable Gains Act 1992.
• The provisions apply to donations that would otherwise qualify for corporation tax relief, ensuring that tax advantages cannot be obtained through tainted charitable giving.