Corporation Tax Act 2010 section 963

Power to surrender tax refund

Section 963 sets out the conditions under which a company that is owed a tax refund may surrender all or part of that refund to another company within the same group.

• A company that is a member of a group and is due a tax refund for an accounting period may surrender all or part of that refund to another member of the same group
• Both companies must have been members of the same group continuously from the start of the relevant accounting period until the date notice is given to HMRC, and both must share the same accounting period
• A joint notice must be given to HMRC before the refund is paid to the surrendering company, specifying the amount to be surrendered and in the form HMRC requires
• A tax refund means either a repayment of corporation tax the company paid for the period, or a repayment of income tax on a payment the company received during the period

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