OpenLegislation

Paragraph 5 Attribution of profits

United Kingdom

(1)

Section 21 (the separate enterprise principle) is amended as follows.

(2)

In subsection (1)—

(a)

for “would have made” substitute “might be expected to make”, and

(b)

for the words from “distinct” to the end substitute “separate and independent enterprise engaged in the same or similar activities under the same or similar conditions, taking into account the functions performed, assets used and risks assumed by the non-UK resident company through the permanent establishment and through the other parts of the non-UK resident company”.