9911796707
TMI BlogRelevant shipping income and exclusion from book profit.X X X X Extracts X X X X X X X X Extracts X X X X ..... other provisions of this Act. (3) The core activities of a tonnage tax company shall be- (a) its activities from operating qualifying ships; and (b) other ship-related or inland vessel related activities, as the case may be, as follows:- (i) shipping contracts in respect of- (A) earning from pooling arrangements; (B) contracts of affreightment; (ii) specific shipping trades, being- (A) on-board or on-shore activities of passenger ships comprising of fares and food and beverages consumed on-board; (B) slot charters, space charters, joint charters, feeder services and container box leasing of container shipping. (4) In sub-section (3)(b)(i),-- (a) "pooling arrangement" means an agreement between two or more persons for pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shall be the activities which are incidental to the core activities and as prescribed for the purpose. (8) Where a tonnage tax company operates any ship or inland vessels as the case may be, which is not a qualifying ship, the income attributable to operating such non-qualifying ship shall be computed under other provisions of this Act. (9) Where any goods or services held for the purposes of- (a) tonnage tax business are transferred to any other business carried on by a tonnage tax company; or (b) any other business carried on by such tonnage tax company are transferred to the tonnage tax business, and, in either case, the consideration, if any, for such transfer as recorded in the accounts of the tonnage tax business does not corre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s on any business or activity other than the tonnage tax business, common costs attributable to the tonnage tax business shall be determined on a reasonable basis. (15) Where any asset, other than a qualifying ship, is not exclusively used for the tonnage tax business by the tonnage tax company, depreciation on such asset shall be allocated between its tonnage tax business and other business on a fair proportion to be determined by the Assessing Officer, having regard to the use of such asset for the purposes of the tonnage tax business and for the other business. (16) The book profit or loss derived from the activities of a tonnage tax company, referred to in sub-section (1), shall be excluded from the book profit of the company for the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
