The following Tax Q&A provides comprehensive and up to date legal information covering:
This Q&A is based on the assumption that the company has sold the oil field assets and no longer retains a licence interest.
UK resident companies, and companies with a UK permanent establishment, are potentially subject to three levels of tax on their profits from oil and gas:
ring fence corporation tax (RFCT)
the supplementary charge (SC), and
petroleum revenue tax (PRT) (albeit at a 0% rate from 1 January 2016)
Profits chargeable to RFCT are broadly computed on the same basis as the normal corporation tax rules (with some exceptions). The SC is calculated on the same basis as corporation tax, but without deduction for finance costs. PRT is a cash flow tax charged on the basis of individual oil and gas fields and is deductible as an expense in computing profits chargeable to RFCT and SC. For information on the RFCT and SC, see Practice Note: Oil and gas—corporation tax and the supplementary charge and for information on PRT, see Practice Note: Petroleum revenue tax.
Tax losses arising on decommissioning can be carried back and offset against the profits chargeable to RFCT, SC and PRT. Tax paid on profits in previous years may also be reclaimed. Different rules are used to calculate how much relief can be
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
Unlike many other countries, the UK has no unfair competition law. Brand owners seeking to prevent competitors from marketing ‘copycat’ products or using misleading advertising have to rely on a combination of different intellectual property rights. These rights include the common law right to
This Practice Note provides guidance on the interpretation and application of the relevant provisions of the CPR. Depending on the court in which your matter is proceeding, you may also need to be mindful of additional provisions—see further below.You should also consider if the proceedings will be
Company directors are not, by virtue only of their office as director, automatically entitled under company law to remuneration for services as a director or to reimbursement of expenses incurred in rendering such services. Power to pay directors remuneration for their services will need to be
A declaratory judgment is a judgment identifying the rights, duties or obligations of one or more parties in a dispute. It is legally binding, but does not order any action by a party. A court may issue it alone or in conjunction with some other relief such as an injunction and can be granted on an
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.