Corporation Tax Act 2009 section 570

Overview of Part

Section 570 provides an overview of Part 7 of the Corporation Tax Act 2009, which deals with how profits and losses from a company's derivative contracts are brought into account for corporation tax purposes.

• Part 7 governs the corporation tax treatment of all profits and losses arising from a company's derivative contracts, with the key definition of "derivative contract" set out in Chapter 2
• Profits and losses are calculated using a system of credits and debits, which are then categorised as either trading amounts (brought into account under Part 3) or non-trading amounts (brought into account under Part 5)
• The Part also covers group transfers, special types of company, chargeable gains on derivative contracts, European cross-border transactions, tax avoidance provisions, and the priority of these rules over other corporation tax provisions
• Payments made under derivative contracts are exempt from the obligation to deduct income tax at source, as provided by section 980 of the Income Tax Act 2007