Taxation of investment trusts—applying for HMRC approval
Produced in partnership with Michael Alliston of Herbert Smith Freehills LLP
Taxation of investment trusts—applying for HMRC approval

The following Tax guidance note Produced in partnership with Michael Alliston of Herbert Smith Freehills LLP provides comprehensive and up to date legal information covering:

  • Taxation of investment trusts—applying for HMRC approval
  • Content of an application
  • Procedure for application
  • Effect of acceptance of an application

This Practice Note considers the application process for a company seeking approval as an investment trust from HMRC. It discusses, in particular, the:

  1. content of an application

  2. procedure for application, and

  3. effect of HMRC granting approval

For:

  1. details of the eligibility conditions and other requirements for a company to be treated as an investment trust for tax purposes, see Practice Note: Taxation of investment trusts—what is an investment trust?

  2. the circumstances in which an approval may be withdrawn, see Practice Note: Taxation of investment trusts—breaches of conditions and withdrawal of approval

  3. the tax treatment of approved investment trusts and their investors, see Practice Note: Taxation of investment trusts—the tax treatment of the investment trust and investors

Content of an application

Basic content

All applications seeking approval for investment trust status must contain:

  1. the date of the first day of the first accounting period for which approval is sought

  2. a statement that the company meets, or is expected to meet, for that accounting period:

    1. the eligibility conditions, and

    2. the requirements of the ITC