IFM17410 - Genuine Diversity of Ownership (GDO): advance clearance procedure: Introduction

Authorised investment funds: regulation 9B of SI 2006/964; offshore funds: regulations 77-79 of SI 2009/3001

A manager or proposed manager of an authorised investment fund or offshore fund can apply in writing for a clearance from HMRC that the fund meets or will meet the relevant GDO condition (IFM17100). Seeking clearance is not mandatory and only recommended where there is genuine uncertainty.

CoACS: paragraph 14(5) of FA03/Sch7A

The operator of a CoACS may also apply in writing that the writing for a clearance from HMRC that the fund meets the GDO condition for the purposes of SDLT seeding relief. As above, seeking clearance is not mandatory and only recommended where there is genuine uncertainty.

Other tax regimes

There is no equivalent statutory clearance process for any other tax regime which utilises a GDO condition. Whether or not a particular fund satisfies the GDO condition is a question of fact and is not something which HMRC can confirm under the Non-Statutory Clearance Service. The Non-Statutory Clearance Service remains available for genuine points of uncertainty which are not addressed in this manual.