TIOPA 2010, Pt. 2, Ch. 2 details, inter alia, how effect is to be given to credit for foreign tax allowed against UK tax. The basic rule is that:

- if, under double taxation arrangements or unilateral arrangements for a territory outside the UK, credit is to be allowed against any taxes on income or chargeable gains, then

- the amount of those taxes is to be reduced by the amount of the credit (but only if, under the arrangements concerned, credit is allowable against the tax in question).

(TIOPA 2010, s. 18(1),(2),(5))

This basic rule is subject to three cases where credit is not allowed under s. 18(2):

Need help? Get subscribed!

To subscribe to this content, simply call 0800 231 5199

We can create a package that’s catered to your individual needs.

Or book a demo to see this product in action.