Taxation (International and Other Provisions) Act 2010 section 15

Group-EBITDA (chargeable gains) election

Section 15 allows a reporting company to elect that the group's EBITDA calculation includes chargeable gains and allowable losses, and sets out the consequences of making such an election.

• Where a reporting company has been appointed for a worldwide group's period of account, it may elect to apply the chargeable gains provisions to the group-EBITDA calculation.
• The election takes effect for the period of account in which it is made and for all subsequent periods of account of the worldwide group.
• Once made, the election is irrevocable — it cannot be withdrawn or reversed in later periods.
• The chargeable gains provisions referred to are those set out in section 422, which modify how group-EBITDA is calculated under Chapter 7 of Part 10.