Article 59 - Supplementary Provisions
(1) For the purposes of this Part—
(a) "transaction" includes arrangements, understandings and mutual practices (whether or not they are, or are intended to be, legally enforceable);
(b) "a series of transactions" includes references to a number of transactions each entered into (whether or not one after the other) in pursuance of, or in relation to, the same arrangement;
(c) a series of transactions shall not be prevented by reason only of one or more of the matters mentioned in Article 59(1)(d) from being regarded as a series of transactions by means of which conditions have been made or imposed between any two
(d) the matters are—
(i) that there is no transaction to which both those
Persons are parties;
(ii) that the parties to any arrangement in pursuance of which the transactions in the series are entered into do not include one or both of those
(iii)that there is one or more of the transactions in the series to which neither of those is a party.
(2) In this Article, "arrangement" means any scheme or arrangement of any kind (whether or not it is, or is intended to be, legally enforceable).
(3) For the purposes of this Part, where conditions are made or imposed between
Associated Persons in their commercial or financial relations by means of a transaction or series of transactions—
(a) it shall be assumed, unless the contrary is shown to the satisfaction of the
Tax Department, that different conditions or no conditions would have been imposed if the Persons were not Associated; and
(b) where a claim is made under Article 51(1), it shall be for the claimant to show that the claim satisfies that paragraph.
(4) Any adjustment required to be made by virtue of this Part may be made by way of discharge or repayment of tax by modification of any assessment or otherwise.
(5) In this Part "relevant activities" in relation to any
Person who is one of the Persons as between whom any conditions have been made or imposed, means such of his activities as—
(a) comprise the activities in the course of which, or with respect to which, those conditions are made or imposed; and
(b) are not activities carried on either separately from those activities or for the purposes of a different part of that
(6) In this Part "relevant notice" means—
(a) a closure notice under Article 124 in relation to an enquiry into a return filed under Article 109, or into a return amended under Article 116, or into a
(b) a notice of a discovery assessment under Article 128(1); or
(c) a notice of a discovery determination under Article 128(2).
|Amended (as from 18th June 2014)|