INTM170010 - Double Taxation Relief: Anti avoidance legislation: Outline

TIOPA10/S81 to S95 (formerly ICTA88/S804ZA, ICTA88/S804ZB and ICTA88/S804ZC)

The legislation applies only where there is a scheme or arrangement that is entered into with tax avoidance as its main or one of its main purposes. It does not apply to anyone who has entered into transactions for wholly bona fide commercial purposes. Where it does apply, UK taxes are reduced by a just and reasonable amount of credit for foreign tax.

Double taxation relief is provided for in UK tax legislation in accordance with arrangements made under bilateral tax treaties, and may also be given unilaterally in the absence of a treaty. Nothing in the application of the legislation represents any stepping back from the UK’s commitment to relieve double taxation in accordance with the intention of treaties, or the legislation in TIOPA10 providing for unilateral relief.