Part 3: Banking Section 17 and and Schedule 3: Banking companies: surcharge Summary
This section and Schedule 3 introduced a surcharge of 8% on the taxable profits of banking companies arising on or after 1 January 2016. Taxable profits are calculated before the offset of losses that arise before the commencement date or from non-banking companies, before the surrender of group relief from non-banking companies and ignoring any elections to transfer chargeable gains to or from non-banking companies. R&D expenditure credits are excluded from the surcharge. An annual surcharge allowance of £25,000,000 will be available to groups and individual banking companies which will reduce the profits liable to the surcharge.