Regulation 12 Investments in non-reporting offshore funds: first caseI1

United Kingdom

(1)

This regulation applies if—

(a)

a CoACS has made an investment for the purposes of the scheme in a non-reporting fund, and

(b)

the conditions in paragraph (2) are met for an accounting period.

(2)

The conditions are that—

(a)

the CoACS has access to the accounts of the non-reporting fund,

(b)

the CoACS has sufficient information about the non-reporting fund to enable it to prepare a computation of reportable income for the fund, and

(c)

the CoACS can reasonably expect to rely on continued access to that information for the period in which it will hold the investment in the fund.

(3)

The amount that would be the excess (if any) of the reportable income of the non-reporting fund in respect of the investment over the amount distributed by the non-reporting fund in respect of that investment is treated for income tax and corporation tax purposes as additional income of the participants in the CoACS in proportion to their rights in the CoACS.

(4)

The additional income is treated as arising on the information reporting date in respect of the accounting period to which the excess relates.

Annotations

Commencement

I1: Reg. 12 in force at 27.12.2017, see reg. 1(1)