This guidance note explains the legislation which attributes capital gains made by a non-resident company which would be a close company if it were UK-resident to the UK resident shareholders. The attributed gains are charged to capital gains tax or corporation tax on those shareholders in proportion to their shareholdings.

Non-resident companies are only liable to UK tax on chargeable gains on disposals of:

1. •

   assets located in the UK which are used for the purposes of a trade carried on in the UK through a permanent establishment (PE), such as a branch or agency

2. •

   interests in UK land or shares in a company that derives at least 75% of its gross asset value from UK land where the whole or part of the gain is within the scope of the NRCG regime. See the Non-resident capital gains tax (NRCGT) on UK land ― individuals and Disposals of UK land by non-resident companies (NRCG regime) ― overview guidance notes for further details

A non-resident company is not otherwise chargeable