INTM489956 - Diverted Profits Tax: notification, charging and payment: collection of tax from a related company

Any amount of DPT due from a non-UK resident company (the taxpayer company) which remains unpaid after the due and payable date can be collected from a related company.

A company is related in this context if, at any time in the relevant period, it was a member

• of the same group as the taxpayer company;
• of a consortium which at the time owned the taxpayer company; or
• of the same group as a company which at the time was a member of a consortium owning the taxpayer company.

The relevant period means the period beginning 12 months before the start of the accounting period to which the unpaid DPT relates and ending on the date that the tax becomes payable.

The taxpayer company and the related company are members of the same group if

• one is the 51% subsidiary of the other, or
• both are 51% subsidiaries of a third company.

The definition of consortium takes its meaning from Part 5 of CTA 2010.