Taxation (International and Other Provisions) Act 2010 section 483

Actual financial statements covering more than one worldwide group

Section 483 deals with what happens when a set of consolidated financial statements covers a period during which the parent entity was the ultimate parent of a worldwide group for only part of that period, requiring the statements to be notionally split.

• Where consolidated financial statements cover a period during which the parent entity headed a worldwide group for only part of that period, the actual financial statements are disregarded for the purposes of the corporate interest restriction rules.
• Instead, consolidated financial statements are treated as having been drawn up covering only the part of the period during which the entity was the ultimate parent of the worldwide group.
• The deemed financial statements are treated as prepared using the same accounting principles and practice as the actual statements, provided those actual statements were drawn up on acceptable principles; otherwise, international accounting standards are assumed.
• The term "IAS subsidiary" used in this section has the same meaning as in section 482, which defines it by reference to the international accounting standards concept of a subsidiary.

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