Taxation (International and Other Provisions) Act 2010 section 246

Cases where payee's non-liability treated as not a result of scheme

Section 246 provides further detail on when a payee's freedom from UK tax is treated as not resulting from a tax avoidance scheme, supplementing the conditions set out in section 245.

• This section expands on "condition C" in section 245, which considers whether the payee's non-liability to UK tax arises because of a scheme or arrangement
• It sets out specific circumstances in which a payee's non-liability to UK tax should be treated as not being the result of a scheme, even where a scheme exists
• The rules originate from section 25(7) to (10) of the Finance (No 2) Act 2005 and were rewritten into the 2010 Act
• The section was subsequently amended by Finance Act 2016, Schedule 10, paragraph 15