747-550 Tax credits: distributions made before 6 April 2016
This commentary applies to distributions made before 6 April 2016. Following the abolition of tax credits for distributions paid on or after 6 April 2016 by Finance Act 2016 most of the rules described below are unnecessary for distributions made on or after that date.
For qualifying distributions (¶747-150) received by a company before 6 April 2016, the recipient company will be entitled to a tax credit equal to one-ninth of the amount or value of that distribution if:
•it is UK-resident; and
•(for distributions received on or after 1 July 2009) the distribution falls within the exemptions provided by CTA 2009, Pt. 9A (see ¶745-300)