Income Tax Act 2007 section 835A

Residence of companies

Section 835A ensures that the rules for determining whether a company is resident in the UK, as set out in Corporation Tax legislation, also apply for income tax purposes.

• The rules for determining company residence are found in Chapter 3 of Part 2 of the Corporation Tax Act 2009.
• Those residence rules apply for corporation tax purposes by default, but this section extends their application to income tax as well.
• This section was necessary because the Corporation Tax Acts are defined more narrowly than the broader "Taxes Acts", which previously governed company residence.
• The effect is a single, consistent set of company residence rules applying across both corporation tax and income tax.