Other tax rules on corporate debt: tax mismatch schemes: Priority over unallowable purpose legislation (s.441, CTA09)
Other specific instances
CTA10/S938V ensures that in determining whether any amounts are brought into account apart from the tax mismatch rules (and so might give rise to a relevant tax advantage), the unallowable purpose rules in section 441 and section 690 CTA 2009, the arbitrage legislation in Part 6 of TIOPA 2010, and the tax treatment of financing costs and income provisions in Part 7 of that Act are to be treated as of no effect. In other words, in judging whether a tax advantage arises from a scheme and whether the TMS rules should apply, those other anti-avoidance provisions are ignored.
It follows that the tax mismatch rules apply in priority to those other rules.