Taxation (International and Other Provisions) Act 2010 section 206

Meaning of "oil-related ring-fence trade" in sections 205 and 218

Section 206 defines the term "oil-related ring-fence trade" as used in sections 205 and 218 of the Act.

• The definition applies for the purposes of section 205 (transfer pricing for ring-fence trades) and section 218(2)(f) (advance pricing agreements)
• Activities qualify as an oil-related ring-fence trade if they form part of a wider trade but are treated as a separate trade under the oil-related activities rules
• Activities also qualify if they constitute the person's entire trade, provided they would be treated as a separate ring-fence trade if the person happened to carry on other activities alongside them
• The underlying oil-related activities rules are found in section 16(1) of ITTOIA 2005 (for income tax purposes) and section 279 of CTA 2010 (for corporation tax purposes)