Partnerships: Capital allowances
On exit from tonnage tax: Compensatory payments between partners
If the other partners are disadvantaged by the tonnage tax company leaving the regime, it is open to them to seek a payment from the tonnage tax company in compensation.
If such a payment is made, it is to be disregarded in computing the profits or losses of both the payer and the recipient for tax purposes, and does not count as a distribution or a charge on income.
|SI00/2303/REG8 (9) (compensation payments between partners)||TTM18008|
|Variation in share of partnership property||TTM13460|