Explanatory note

This Order exercises power conferred by the Corporation Tax Act 2010 to make transitional or saving provision. Section 1180(2) of the Corporation Tax Act 2010 came into force on 3 March 2010 (see section 1184(2)(c) of that Act).

Section 1032(2) of the Corporation Tax Act 2010 does not rewrite the words “other than in section 1285 of the Corporation Tax Act 2009 (exemption for UK company distributions)” in the source legislation, section 212(3) of the Income and Corporation Taxes Act 1988 (c. 1). Section 1285 of the Corporation Tax Act 2009 (c. 4) was repealed by paragraph 27 of Schedule 14 to the Finance Act 2009 (c. 10), with effect in relation to distributions paid on or after 1 July 2009. The transitional provision made by this instrument preserves the effect of the omitted words in relation to a distribution paid by a company before 1 July 2009 in an accounting period beginning on or before the date of such payment and ending on or after 1 April 2010.

A full Impact Assessment has not been produced for this instrument as no impact on the private or voluntary sectors is foreseen.