Chapter 7

Tax residency mismatch

Summary

This chapter sets out the anti-hybrid rules relating to tax residency mismatches. Tax residency mismatches arise where an entity is tax resident in more than one territory and can therefore obtain a tax deduction in respect of the same payment in more than one territory.

835AP Application of chapter

Summary

This section sets out the entities and transaction(s) to which this chapter applies.

Details

The chapter shall apply to a company which is within the charge to—

1. corporation tax, because it is tax resident in the State under the laws of the State, and
2. foreign tax in a territory other than the State, because it is regarded as tax resident in that territory under the tax laws of that territory.

Relevant Date: Finance Act 2019