For accounting periods beginning on or after 3 June 1986, ICTA88/S797 (4) and (5) ensure that the set off of Advance Corporation Tax (‘ACT’) is restricted as below. ACT was abolished for distributions made on or after 6 April 1999 and ICTA88/S797(4) and (5) were repealed for accounting periods beginning on or after 6 April 1999.

Accounting periods beginning on or after 3 June 1986 and before 6 April 1999

The Corporation Tax attributable to any doubly taxed foreign income is first reduced by the amount of the tax credit relief allowable on that income.

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