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FM 36: Joining existing consolidated group
or “How to join an existing group of companies for tax purposes”
You could also call this:

“How a company can leave a consolidated group”

You can leave a consolidated group in a few ways. First, you can choose to leave and tell the Commissioner about your choice. You can read more about this in section FM 39.

If you don’t meet the rules for being in the group anymore, you have to leave. These rules are in section FM 31, and you can find out more in section FM 40.

If you’re not the main company in the group (called the nominated company), you might have to leave if you can’t stay in the same group as the nominated company. Section FM 40 has more details about this.

Lastly, if your group doesn’t have a nominated company anymore, you’ll have to leave. You can learn more about this in section FM 41.

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Next up: FM 38: Notice requirements on forming or joining consolidated group

or “Notice rules for companies forming or joining tax groups”
Next

Part F Recharacterisation of certain transactions
Consolidated groups of companies: Forming, joining, or leaving consolidated groups

FM 37Leaving consolidated group

  1. A company leaves a consolidated group if—

  2. it chooses to leave the consolidated group and notifies the Commissioner of its election, see section FM 39; or
    1. it no longer meets the eligibility criteria set out in section FM 31, see section FM 40; or
      1. when it is not a nominated company, it is not eligible to continue as part of the same consolidated group as the nominated company, see section FM 40; or
        1. it is part of a consolidated group that no longer has a nominated company, see section FM 41.

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          Notes
          • Section FM 37(c): amended, on (with effect on 1 April 2008), by section 103 of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).