Section 122 Chargeable persons

United Kingdom

(1)

A person is chargeable to multinational top-up tax for an accounting period of a multinational group if the group is a qualifying multinational group in that period and—

(a)

the person—

(i)

is a F1... member of the multinational group at any time in that period,

(ii)

is a body corporate or a partnership F2..., and

(iii)

is located in the United Kingdom, or

(b)

the person is chargeable to tax in respect of an entity that is a ... member of the multinational group at any time in that period.

(2)

A person is chargeable to tax in respect of a F3... member of a multinational group if—

(a)

the profits of the ... member would, on the relevant assumptions, be the profits of the person for the purposes of income tax or corporation tax,

(b)

the ... member is located in the United Kingdom, and

(c)

the ... member is not—

(i)

a body corporate, or

(ii)

a partnership F4....

(3)

The relevant assumptions are—

(a)

that the F5... member has profits that are chargeable to income tax or corporation tax, and

(b)

that the person is resident in the United Kingdom for the purposes of that tax.

F6(4)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(7)

Where more than one person is chargeable to tax in relation to the same F7... member of a qualifying multinational group as a result of the application of subsection (2), each of those persons is jointly and severally liable to multinational top-up tax.

Annotations

Textual amendments

F1: Word in s. 122(1) omitted (in relation to accounting periods commencing on or after 31.12.2024) by virtue of Finance Act 2025 (c. 8), Sch. 4 paras. 3(2), 10
F2: Words in s. 122(1)(a)(ii) omitted (with effect for accounting periods beginning on or after 31.12.2023 in accordance with Sch. 12 para. 1(2) of the amending Act) by virtue of Finance Act 2024 (c. 3), Sch. 12 para. 2(1)(a)
F3: Word in s. 122(2) omitted (in relation to accounting periods commencing on or after 31.12.2024) by virtue of Finance Act 2025 (c. 8), Sch. 4 paras. 3(3), 10
F4: Words in s. 122(2)(c)(ii) omitted (with effect for accounting periods beginning on or after 31.12.2023 in accordance with Sch. 12 para. 1(2) of the amending Act) by virtue of Finance Act 2024 (c. 3), Sch. 12 para. 2(1)(b)
F5: Word in s. 122(3)(a) omitted (in relation to accounting periods commencing on or after 31.12.2024) by virtue of Finance Act 2025 (c. 8), Sch. 4 paras. 3(4), 10
F6: S. 122(4)-(6) omitted (with effect for accounting periods beginning on or after 31.12.2023 in accordance with Sch. 12 para. 1(2) of the amending Act) by virtue of Finance Act 2024 (c. 3), Sch. 12 para. 2(1)(c)
F7: Word in s. 122(7) omitted (in relation to accounting periods commencing on or after 31.12.2024) by virtue of Finance Act 2025 (c. 8), Sch. 4 paras. 3(5), 10

Notes on Part 3

Modifications

C1: Pt. 3 modified (2.12.2025) by Finance Act 2026 (c. 11), Sch. 8 paras. 32, 53(3)