Blackrock Holdco 5 LLC v Revenue and Customs Comrs

Subject Matter

REVENUE — Corporation tax — Loan relationships — Taxpayer issuing loan notes to parent company and subsequently claiming deductions of loan relationship debits in respect of interest and other expenses relating arising under loan notes for purposes of calculating corporation tax due — Whether taxpayer entitled to claim deduction for loan relationship debits — Whether loan relationship having main purpose of seeking tax advantage — Corporation Tax Act 2009, s 441 — Taxation (International and Other Provisions) Act 2010, s 147

[2022] UKUT 199 (TCC); [2022] STC 1490, UT

REVENUE — Corporation tax — Loan relationships — Taxpayer issuing loan notes to parent company and subsequently claiming deductions of loan relationship debits in respect of interest and other expenses relating arising under loan notes for purposes of calculating corporation tax due — Whether transfer pricing provisions allowed for consideration of third parties — Whether taxpayer entitled to claim deduction for loan relationship debits — Whether loan relationship having main purpose of seeking tax advantage — Corporation Tax Act 2009, ss 441,42 — Taxation (International and Other Provisions) Act 2010, Pt 4

[2024] EWCA Civ 330; [2024] 4 All ER 649; [2024] STC 740; [2024] WLR(D) 159, CA

Appellate History

Commentary

RPC Perspectives
Purpose-based rules: Have we hit BlackRock-bottom? Case comment