# Finance (No. 2) Act 2023, Paragraph 9: “Non-material member”


For the purposes of paragraph 8(2)(a), a member of a multinational group is a “non-material member” of the group for an accounting period if for the period in question—
(a) the member’s assets, liabilities, income, expenses and cash flows are not included in the consolidated financial statements of the ultimate parent on a line-by-line basis,
(b) their non-inclusion in those statements is solely on the grounds of size or materiality, and
(c) an external auditor has agreed (without qualification) to their non-inclusion in those statements on those grounds,
or if for the period in question the member is a permanent establishment of a member that meets the conditions in paragraphs (a) to (c).

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Source: https://www.legislation.gov.uk/ukpga/2023/30/schedule/16A/paragraph/9 (the official version)
Page: https://openlegislation.uk/finance-no-2-act-2023/schedule-16A/paragraph-9
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.