Peninsular & Oriental Steam Navigation Company v Revenue and Customs Commissioners  BTC 21
 EWCA Civ 468
Court of Appeal (Civil Division)
Arden LJ, Jackson LJ, Kitchin LJ
Judgment delivered 20 May 2016
Corporation tax – Double taxation relief – Share subscription by overseas subsidiary in UK subsidiary – Shares almost immediately cancelled by reduction in capital – Resulting reserve paid by way of dividend to overseas subsidiary – Onward dividend to UK parent – Income and Corporation Taxes Act 1988 (‘ICTA 1988’), s. 18 (Sch. D, Case V) and (Double Taxation Relief), Pt. XVIII – Whether ‘underlying tax’ arose to which ICTA 1988, s. 801(4B) applied.