{
  "url": "https://openlegislation.uk/finance-act-2000/schedule-22/paragraph-4",
  "json_url": "https://openlegislation.uk/finance-act-2000/schedule-22/paragraph-4.json",
  "legislation": "ukpga/2000/17",
  "legislation_title": "Finance Act 2000",
  "legislation_url": "https://openlegislation.uk/finance-act-2000",
  "path": "schedule/22/paragraph/4",
  "kind": "paragraph",
  "number": "4",
  "heading": null,
  "text": "(1) A company’s tonnage tax profits for an accounting period are calculated in accordance with this paragraph by reference to the net tonnage of the qualifying ships operated or managed by the company.\nFor the purposes of the calculation the net tonnage of a ship is rounded down (if necessary) to the nearest multiple of 100 tons.\n(2) The calculation is as follows:\nStep One\nDetermine the daily profit for each qualifying ship operated by the company and each qualifying ship managed by the company by reference to the following table and the net tonnage of the ship—\nNet tonnage\nDaily Profit\nOperated ship\nManaged ship\nFor each 100 tons up to 1,000 tons\n£0.60\n£0.12\nFor each 100 tons between 1,000 and 10,000 tons\n£0.45\n£0.09\nFor each 100 tons between 10,000 and 25,000 tons\n£0.30\n£0.06\nFor each 100 tons above 25,000 tons\n£0.15\n£0.03\nStep Two\nWork out the ship’s profit for the accounting period by multiplying the daily profit by—\n(a) the number of days in the accounting period, or\n(b) if the ship was operated by the company as a qualifying ship for only part of the period, by the number of days in that part.\nStep Three\nFollow Steps One and Two for each of the qualifying ships operated by the company in the accounting period.\nStep Four\nAdd together the resulting amounts and the total is the amount of the company’s tonnage tax profits for that accounting period.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Words in Sch. 22 para. 4(1) inserted (with effect in accordance with Sch. 8 para. 8 of the amending Act) by Finance Act 2024 (c. 3), Sch. 8 para. 3(2)"
    },
    {
      "type": "F",
      "label": "F2",
      "text": "Words in Sch. 22 para. 4(2) substituted (with effect in accordance with Sch. 8 para. 8 of the amending Act) by Finance Act 2024 (c. 3), Sch. 8 para. 3(3)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2000/17/schedule/22/paragraph/4",
    "retrieved_at": "2026-10-29T09:21:00.128981+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}