Multinational Top-up Tax and Domestic Top-up Tax

MTT15990 - Scope: Safe harbours: Transitional safe harbour: Anti-arbitrage rule

An anti-arbitrage rule applies for transitional safe harbour purposes to exclude certain amounts from the profit (loss) before income tax and income tax expense when completing the tests for the transitional safe harbour.

The rule is set out in paragraphs 6A and 6B to Schedule 16 of Finance (No.2) Act 2023.

For further guidance on the anti-arbitrage rule, see Chapter 2.6 of the December 2023 Administrative Guidance document published by the OECD.

Introduction by Finance Act 2025

This provision was introduced in an amendment to Finance (No.2) Act 2023 by FA25. This guidance page reflects the current version of the legislation. Consult FA25 for legislation applicable to prior periods if the retrospection election does not apply (see MTT09490).