{
  "url": "https://openlegislation.uk/finance-no-2-act-2023/section-222",
  "json_url": "https://openlegislation.uk/finance-no-2-act-2023/section-222.json",
  "legislation": "ukpga/2023/30",
  "legislation_title": "Finance (No. 2) Act 2023",
  "legislation_url": "https://openlegislation.uk/finance-no-2-act-2023",
  "path": "section/222",
  "kind": "section",
  "number": "222",
  "heading": "Investment entity effective tax rate",
  "text": "The investment entity effective tax rate in a territory for an accounting period is determined by taking the following steps—\nStep 1\nDetermine the adjusted profits made by each of the investment entities in the territory, as determined under Chapter 4 and adjusted under section 223.\nStep 2\nSubtract the sum of the losses of those investment entities that made a loss in that period from the sum of the profits of those investment entities that made a profit in that period.\nStep 3\nIf the result of Step 2 is nil or less, the investment entity effective tax rate is to be treated as 15%. Otherwise, proceed to Step 4.\nStep 4\nDetermine the covered tax balance of each such investment entity in accordance with Chapter 5.\nStep 5\nAdjust the amounts determined in Step 4 in accordance with section 223 (to the extent applicable).\nStep 6\nAdd together the amounts determined in Step 5 that are adjusted positive covered tax balances.\nStep 7\nAdd together the amounts determined in Step 5 that are adjusted negative covered tax balances.\nStep 8\nSubtract the result of Step 7 from the result of Step 6.\nStep 9\nDivide the result of Step 8 by the result of Step 2. This is the investment entity effective tax rate.",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Words in s. 222 substituted (with effect in accordance with Sch. 4 para. 72(4) of the amending Act) by Finance Act 2025 (c. 8), Sch. 4 paras. 67, 72(4)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2023/30/section/222",
    "retrieved_at": "2026-10-29T08:52:11.242356+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."
}