Queen’s Bench Division (Divisional Court).

[The appeal against this decision is reported at [1986] BTC 353.]

Judgment delivered 29 January 1986.

Corporation tax – Close company – Annual payments to charity under covenant – Apportionment – Whether tax inspector under duty to make apportionment of all covenanted payments to charity made by the company among its participators – Whether discretion to make such apportionment – Finance Act 1972, Sch. 16. para. 3.