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Section 1B: Non-UK residents: UK branch or agency

Taxation of Chargeable Gains Act 1992 · 1992 c. 12View on legislation.gov.uk

Part 1: Capital gains tax and corporation tax on chargeable gains — Chapter 1: Capital gains tax

For the purposes of section 1A(3)(a) a person has a UK branch or agency at any time if, at that time, the person carries on a trade, profession or vocation in the United Kingdom through a branch or agency there.

For the purposes of section 1A(3)(a) an asset has a relevant connection to a person's UK branch or agency if—

it is, or was, used in or for the purposes of the trade, profession or vocation at or before the time of the disposal,
it is, or was, used or held for the purposes of the branch or agency at or before that time, or
it is acquired for use by or for the purposes of the branch or agency.

Section 1A(3)(a) does not apply to a person who, as a result of Part 2 of TIOPA 2010 (double taxation arrangements), is exempt from income tax for the tax year in respect of the profits or gains of the branch or agency.

In the case of a profession or vocation carried on by a person, an asset does not have a relevant connection to the person's UK branch or agency if—

the asset was only used in or for the purposes of the profession or vocation before 14 March 1989, or
the asset was only used or held for the purposes of the branch or agency before that date.

In this Act, unless the context otherwise requires, "branch or agency"—

means any factorship, agency, receivership, branch or management, but
does not include any person within any of the exemptions under sections 835G to 835K of ITA 2007 (persons who are not UK representatives).

About this text

This legislation text comes from legislation.gov.uk. Contains public sector information licensed under the Open Government Licence v3.0. These source and reuse terms cover the legislation text, not Remedy's commentary.

Reuse reviewed 21 August 2026 under Open Government Licence v3.0.