- a pre-trading expenditure
means capital expenditure incurred before the day on which a person begins to carry on a trade that is a mineral extraction trade, but only if there is no prior time when the person carried on that trade and the trade was not a mineral extraction trade,”
- accelerated payment notice
has the meaning given by section 219(1);
- accounting period
has the meaning given by section 1119 of CTA 2010, • “close company” includes a company which— (a) is resident in an EEA state other than the United Kingdom, and (b) if it were UK resident, would be a close company, • “control” has the meaning given by section 450 of CTA 2010, and • “relative” means brother, sister, ancestor or lineal descendant.”
- accreditation
means accreditation under section 257JD, and • “regulations” means regulations made by the Treasury. 257JG 1 An accreditation under section 257JD has effect for a period— a beginning with the day specified in the accreditation, and b of a length specified in, or determined in accordance with, the accreditation. 2 The day specified under subsection (1)(a) in an accreditation may not be earlier than 6 April 2014 but subject to that— a may be, or be earlier than, the day it is decided to grant the accreditation (and in particular may be, or be earlier than, the day the application for the accreditation is made), and b may be earlier than the day section 257JD comes into force. 3 This section has effect subject to sections 257JD(4) and 257JF(3)(d)(i) (withdrawal of accreditations). 257JH 1 A Minister of the Crown may delegate any function given to a Minister of the Crown by or under sections 257JD to 257JG other than a power of the Treasury to make regulations. 2 In those sections and this section “Minister of Crown” has the meaning given by section 8(1) of the Ministers of the Crown Act 1975. 257K 1 An individual (“the investor”) who invests in a social enterprise is e
- accredited competitor
means a person to whom an accreditation card in the athletes' category has been issued by the company named UK Athletics Limited which was incorporated on 16 December 1998;
- accredited social impact contractor
means a company limited by shares that is accredited under this section as a social impact contractor. 2 Applications for accreditation as a social impact contractor must be made to a Minister of the Crown in the form and manner specified by a Minister of the Crown. 3 A Minister of the Crown is to accredit a company if, but only if, that Minister is satisfied that— a the company has entered into a social impact contract (see section 257JE), b the company is, and at all times since its incorporation has been, established— i for the purpose of entering into and carrying out a social impact contract, or for that purpose and purposes incidental to it, but ii for no other purpose, and c the activities of the company in carrying out that contract will not consist wholly, or as to a substantial part, in excluded activities (see section 257MQ). 4 If a Minister of the Crown is satisfied that the condition in subsection (3)(b) or (c) has ceased to be met in relation to a company that is an accredited social impact contractor, that Minister is to withdraw the company's accreditation with effect from the time the condition ceased to be met or a later time.
- Adequate
means adequate having regard to what it might be reasonable for a client or (as the case may be) an intermediary to expect;
- adjustments
means any adjustments, whether by way of an assessment, the modification of an assessment or return, the amendment or disallowance of a claim, the entering into of a contract settlement or otherwise (and references to “making” adjustments accordingly include securing that adjustments are made by entering into a contract settlement).
- Administrative provision
means provision corresponding, subject to such adaptations or other modifications as appear to the Treasury to be appropriate, to that made by Part 8 of Schedule 18 to FA 1998 (company tax returns: claims for group relief). 1217N 1 In relation to a company that has made a claim under section 1217H in relation to a theatrical production, “interim accounting period” means any accounting period that— a is one in which the company carries on the separate theatrical trade, and b precedes the accounting period in which it ceases to do so. 2 A company is not entitled to relief under any of the relieving provisions for an interim accounting period unless— a its company tax return for the period states the amount of planned core expenditure on the theatrical production that is EEA expenditure, and b that amount is such as to indicate that the EEA expenditure condition (see section 1217GB) will be met in relation to the production.
- agent
means a person (“A”) who acts in A's own name but on behalf of another person within the meaning of Article 28 of Council Directive 2006/112/EC on the common system of value added tax. 6 In this section “electronically supplied services” and “telecommunication services” have the same meaning as in Schedule 4A (see paragraph 9(3) and (4) and paragraph 8(2) of that Schedule).”
- animal
has the meaning given by section 1(1) of the Animal Welfare Act 2006). 1217FC 1 A company is the production company in relation to a theatrical production if the company (acting otherwise than in partnership)— a is responsible for producing, running and closing the theatrical production, b is actively engaged in decision-making during the production, running and closing phases, c makes an effective creative, technical and artistic contribution to the production, and d directly negotiates for, contracts for and pays for rights, goods and services in relation to the production. 2 No more than one company can be the production company in relation to a theatrical production. 3 If more than one company meets the conditions in subsection (1) in relation to a theatrical production, the company that is most directly engaged in the activities mentioned in subsection (1) is the production company. 4 If there is no company meeting the conditions in subsection (1), there is no production company in relation to the production. 1217G 1 A company qualifies for relief in relation to a theatrical production if— a it is the production company in relation to the production, and b the commerc
- appeal period
means— (a) the period during which an appeal could be brought against the determination of an authorised officer or the tribunal, as applicable, or (b) where an appeal mentioned in paragraph (a) has been brought, the period during which that appeal has not been finally determined, withdrawn or otherwise disposed of;
- appeal tribunal
has the same meaning as in Chapter 2 of Part 1 of FA 1994.
- applicable arrangements
means— (a) in relation to a disclosure falling within subsection (1)(za) or (zb), arrangements falling within the description specified in the stop notice to which the disclosure relates, or (b) in relation to a disclosure falling within subsection (1)(a) or (b), relevant arrangements;
- applicable proposal
means— (a) in relation to a disclosure falling within subsection (1)(za) or (zb), a proposal for arrangements falling within the description specified in the stop notice to which the disclosure relates, or (b) in relation to a disclosure falling within subsection (1)(a) or (b), a relevant proposal;
- appropriate proportion
means an appropriate proportion having regard to— a what was acquired by C under the relevant transaction and what is held by C at the time of the disqualifying event, and b the extent to which what is held by C at that time becomes used or held for purposes other than qualifying charitable purposes. 3C 1 This paragraph applies where— a a charity (“C”) is one of two or more purchasers acquiring the subject-matter of a land transaction (“the relevant transaction”) as tenants in common (or, in Scotland, as owners in common), b C is not a qualifying charity in relation to the transaction, c paragraph 3A(3) to (5) would apply if C were a qualifying charity, and d C intends to hold the greater part of its undivided share of the subject-matter of the transaction for qualifying charitable purposes. 2 In such a case— a paragraph 3A has effect as if C were a qualifying charity, but b for the purposes of paragraph 3B (withdrawal of relief under paragraph 3A) “disqualifying event” includes any additional disqualifying transaction. 3 The following are “additional disqualifying transactions” if they are not made in furtherance of the charitable purposes of C— a any tran
- arrangements
has the meaning given by section 234(4);
- asset
includes part of an asset. 2 In the event of the death of— a the investor, or b a person who, on a disposal within marriage or civil partnership, has acquired the whole or any part of the social holding, nothing which occurs at or after the time of death is a chargeable event in relation to any part of the holding held by the deceased person immediately before the time of death. 3 If a person makes a disposal of assets of a particular class while retaining other assets of that class— a assets of that class acquired by the person on an earlier day are treated for the purposes of this Schedule as disposed of before assets of that class acquired by the person on a later day, and b asset
- associated employments
means employments with the same employer or with associated employers. 4 Section 24(5) and (6) (meaning of “associated employer”) applies for the purposes of this section. 41J 1 The following provisions apply for the purposes of this Chapter— a section 39(1) and (2), and b section 40 (but as if in subsections (3) and (4) of that section references to section 24(1)(b) were to section 41I(1)(b)). 2 Duties of an employment performed in the UK sector of the continental shelf in connection with exploration or exploitation activities are to be treated for the purposes of this Chapter as being performed in the United Kingdom. 3 In subsection (2) “the UK sector of the contin
- associated person
has the meaning given by section 356LB;
- authorised officer
means an officer of Revenue and Customs who is, or is a member of a class of officers who are, authorised by HMRC for the purposes of the provision concerned.
- authorised transfer
means a transfer of property consisting of or including any ordinary share capital of a company (“the transferred company”) where— (a) the transferred company meets the trading requirement, and (b) the transfer is made to the trustees of a settlement which— (i) meets the controlling interest requirement with respect to the transferred company immediately after the transfer, and (ii) meets the all-employee benefit requirement with respect to the transferred company (ignoring section 236L), and for this purpose references to “C” in sections 236I, 236M and 236T and this section are to be read as references to the transferred company, • “close company” and “participator” have the same meaning as in Part 4 of the Inheritance Tax Act 1984 (see section 102 of that Act), and references to a participator in a company are, in the case of a company which is not a close company, to be construed as references to a person who would be a participator in the company if it were a close company, • “the look-back date” means the first day of the period of 10 years ending with whichever is later of— (a) 10 December 2013, and (b) the day on which any property first became comprise
- avoidance-related rule
means a rule in Category 1 or 2.
- betting exchange business
means a business such as is mentioned in section 141(1).
- betting facilities
means facilities for receiving or negotiating bets or conducting pool betting operations;
- bingo
includes any version of that game, whatever name it is called;
- bonus shares
means shares which are issued otherwise than for payment (whether in cash or otherwise), • “compliance statement” has the meaning given by section 257PB, • “director”— (a) is read in accordance with section 452 of CTA 2010 but as if “company” in that section included a charity that is a trust, and (b) in relation to a charity that is a trust (but subject to section 257LF(9)), includes (in particular) each trustee of the trust, • “disposal”, in relation to any shares or other investments, includes disposal of an interest or right in or over them, • “group” means a parent company and its qualifying subsidiaries, • “group company”, in relation to a group, means the parent company
- bookmaker
means a person who— (a) carries on the business of receiving or negotiating bets or conducting pool betting operations (whether as principal or agent and whether regularly or not), or (b) holds himself or herself out or permits himself or herself to be held out, in the course of a business, as a person within paragraph (a);
- broadcast
means broadcast by any means (including television, radio or the internet);
- bus
has the same meaning as in paragraph 3(2) of Schedule 1 to VERA 1994;
- business
includes any trade, profession or vocation. 257MU 1 For the purposes of this Part, a company (“the subsidiary”) is a qualifying subsidiary of another company (“the parent”) if— a the subsidiary is a 51% subsidiary of the parent, b no person other than the parent, or another of its subsidiaries, has control of the subsidiary, and c no arrangements are in existence as a result of which either of the conditions in paragraphs (a) and (b) would cease to be met. 2 The conditions in subsection (1)(a) to (c) do not cease to be met merely because the subsidiary or any other company is wound up, or dissolved without winding up, if the winding-up or dissolution— a is for genuine commercial reasons, and b is not part of any arrangements the main purpose or one of the main purposes of which is the avoidance of tax. 3 The conditions in subsection (1)(a) to (c) do not cease to be met merely because of anything done as a consequence of the subsidiary or another company being in administration, or receivership, if— a the entry into administration or receivership, and b everything done as a consequence of the company concerned being in administration or receivership, is for genuine commer
- business premises
has the meaning given by paragraph 10(3) of Schedule 36 to the Finance Act 2008 (power to inspect business premises etc). 4 Paragraphs 10(2), 12, 15 and 16 of Schedule 36 to the Finance Act 2008 apply in relation to the power of inspection conferred by this section as they apply in relation to the power of inspection conferred by paragraph 10 of that Schedule. 5 An officer of Revenue and Customs may not inspect a document under this section if or to the extent that, by virtue of a provision of Part 4 of Schedule 36 to the Finance Act 2008 (restrictions on powers) applied by section 153A(3), an information notice under section 153A given at the time of the inspection to th
- calendar quarter
means a period of 3 months beginning with 1 January, 1 April, 1 July or 1 October;
- care home
means an establishment that provides accommodation together with nursing or personal care;
- chargeable person
means—
- charity
has the same meaning as in Chapter 2, • “qualifying payment” means a qualifying payment for the purposes of Chapter 2, and • “registered club” has the same meaning as in Chapter 2, and any reference to a member of the club includes a reference to a person connected with a member of the club. 202C 1 This section applies for the purposes of section 202B. 2 “Inflated member-related expenditure” means— a employment expenditure incurred in respect of the employment of a member of the club, by the company, where that employment is otherwise than on an arm's length basis, or b expenditure incurred on a supply of goods and services to the club by— i a member of the club, or ii a member-controlled body, otherwise than on an arm's length basis. 3 But if the features of an employment or supply which cause it to be otherwise than on an arm's length basis, when taken together, are more advantageous to the company than if the employment or supply had been on an arm's length basis, any expenditure incurred in respect of the employment or on the supply is not inflated member-related expenditure. 4 A company is “member-controlled” if a member of the club has (or two or more members acting
- checking
includes carrying out an investigation or enquiry of any kind.
- client
has the meaning given by Article 2(15) of the EMIR Regulation, • “client clearing agreement” means a contract between a clearing member of a qualifying central counterparty and a client, relating to the clearing of transactions with the qualifying central counterparty, • “derivative contract” has the meaning given by international accounting standards, • “the EMIR Regulation” means Regulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories, • “qualifying central counterparty” means a central counterparty that has been either authorised or recognised under the EMIR Regulation, • “trade” me
- client clearing agreement
means a contract between a clearing member of a qualifying central counterparty and a client, relating to the clearing of transactions with the qualifying central counterparty, • “derivative contract” has the meaning given by international accounting standards, • “the EMIR Regulation” means Regulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories, • “qualifying central counterparty” means a central counterparty that has been either authorised or recognised under the EMIR Regulation, • “trade” means a transaction relating to the sale and purchase of a financial instrum
- close company
has the same meaning as in Part 4 of this Act;
- commencement day
means—
- commercial purpose condition
has the meaning given by section 1217GA;
- community benefit society
means a body that— a is registered as a community benefit society under the 2014 Act, b is a pre-commencement society (within the meaning of the 2014 Act) that meets the condition in section 2(2)(a)(ii) of the 2014 Act, or c is a society registered, or treated as registered, under section 1 of the Industrial and Provident Societies Act (Northern Ireland) 1969 in the case of which the condition in section 1(2)(b) of that Act is fulfilled, and in respect of which the condition in subsection (2) is met. 2 The condition is that— a the body is of a kind prescribed by regulation 5 of, and b the body's rules include a rule in the terms set out in Schedule 1 to, the Community Benefit Societies (Restriction on Use of Assets) Regulations 2006 (S.I. 2006/264) or the Community Benefit Societies (Restriction on Use of Assets) Regulations (Northern Ireland) 2006 (S.R. 2006/258). 3 The Treasury may by order amend this section for the purpose of— a replacing— i the condition in subsection (2), or ii the condition, or all or any of the conditions, for the time being replacing the condition in subsection (2), with one or more other conditions;
- community society
means—
- company
has the meaning given by section 170(9);
- company tax return
has the same meaning as in Schedule 18 to FA 1998 (see paragraph 3(1) of that Schedule). 1217OB In this Part— • “commercial purpose condition” has the meaning given by section 1217GA;
- compliance statement
has the meaning given by section 257PB, • “director”— (a) is read in accordance with section 452 of CTA 2010 but as if “company” in that section included a charity that is a trust, and (b) in relation to a charity that is a trust (but subject to section 257LF(9)), includes (in particular) each trustee of the trust, • “disposal”, in relation to any shares or other investments, includes disposal of an interest or right in or over them, • “group” means a parent company and its qualifying subsidiaries, • “group company”, in relation to a group, means the parent company or any of its qualifying subsidiaries, • “ordinary shares” means shares forming part of a company's ordin
- Condition C requirement
means one of the requirements set out in Condition C in section 219.
- conduct notice
means a notice of the description in section 238 that is given under— (a) section 237(7) or (7A), (aa) section 237A(8), (ab) section 237B(1), (b) section 245(7), or (c) paragraph 8(2) or (3) or 10(3)(a) or (4)(a) of Schedule 36;
- consumer prices index
means the all items consumer prices index published by the Statistics Board.”
- continental shelf worker
means a person in an employment some or all of the duties of which are performed— (a) in the UK sector of the continental shelf (as defined in section 41), and (b) in connection with exploration or exploitation activities (as so defined);
- contract settlement
means an agreement in connection with a person's liability to make a payment to the Commissioners under or by virtue of an enactment;
- control
has the same meaning as in Part 10 of CTA 2010 (see section 450 of that Act). 1217GB 1 The “EEA expenditure condition” is that at least 25% of the core expenditure on the theatrical production incurred by the company is EEA expenditure. 2 In this Part “EEA expenditure” means expenditure on goods or services that are provided from within the European Economic Area. 3 Any apportionment of expenditure as between EEA and non-EEA expenditure for the purposes of this Part is to be made on a just and reasonable basis. 4 The Treasury may by regulations— a amend the percentage specified in subsection (1);
- controlling member
has the same meaning as in Schedule 36 (partnerships).
- core expenditure
has the meaning given by section 1217GC;
- corporation tax accounting period
means an accounting period for corporation tax purposes, • “the relevant time” means the time immediately before— (a) the time when the relevant arrangement is made, or (b) if earlier, the time when the UK creditor relationship ends, • “relevant UK credits”, in relation to a UK connected company, means credits which the company has under Part 5 or 7 of CTA 2009, • “relevant UK debits”, in relation to a UK connected company, means debits which the company has under Part 5 or 7 of CTA 2009, and • “UK connected company” means a UK resident company which— (a) is connected with the CFC, or (b) was connected with a company with which the CFC is connected.”
- corresponding bonus shares
means bonus shares which are in the same company, of the same class, and carry the same rights, as the original shares. 7 If section 257JA(1) and (2) apply in the case of any investment as if part of the amount invested had been invested in a previous tax year, this section has effect as if that part and the remainder had been invested by separate investments (and that part had been invested by an investment made on a day in the previous tax year). 8 For the purposes of this section, shares or other investments in a company are not treated as being of the same class unless they would be so treated if dealt in on a recognised stock exchange. 257P 1 A claim for SI relief in respect of the amount invested may be made— a not earlier than the time the requirement in section 257MM(2) (chosen trade must have been carried on for 4 months) is first met, and b not later than the fifth anniversary of the normal self-assessment filing date for the tax year in which the investment is made. 2 If the social enterprise is an accredited social impact contractor, subsection (1) applies with the omission of its paragraph (a). 3 If section 257JA(1) and (2) apply as if part
- corresponding tax advantage
means a tax advantage corresponding to any tax advantage the counteraction of which contributed to the relevant defeat mentioned in that paragraph.
- cumulative total amount of activated allowance
has the meaning given by section 356D(2);
- de minimis aid
means de minimis aid which fulfils the conditions laid down— a in Commission Regulation (EU) No. 1407/2013 (de minimis aid) as amended from time to time, or b in any EU instrument from time to time replacing the whole or any part of that Regulation. 4 For the purposes of subsection (1), the amount of any de minimis aid is the amount of the grant or, if the aid is not in the form of a grant, the gross grant equivalent amount within the meaning of that Regulation as amended from time to time. 5 For the purposes of this section— a a scheme investment is an investment in respect of which the social enterprise (at any time) provides a compliance statement, and b section 257KB applies for the purpose of determining when a scheme investment is made, but as if references in that section to this Part, the investment and the investor were (respectively) to this section, the scheme investment and the person making the scheme investment. 6 For the purposes of subsection (1), if— a the investment or any scheme investment is made, or b any aid is granted, in sterling or any other currency that is not the euro, its amount is to be converted into euros at an appropriate spot rate
- debenture
includes any instrument creating or acknowledging indebtedness. 257KC 1 In this Part “the shorter applicable period” and “the longer applicable period” have the meaning given by this section. 2 The shorter applicable period begins with the investment date. 3 The longer applicable period begins with— a the day on which the social enterprise is— i incorporated (if it is a body corporate), or ii established (in any other case), or b if later, the day whose first anniversary is the investment date. 4 Each of the periods ends with the third anniversary of the investment date. 257L 1 At all times during the shorter applicable period, the investment must be in— a shares that meet conditions A and B and are issued to the investor by the social enterprise in return for the amount invested, or b qualifying debt investments of which the investor is the holder in return for advancing the amount invested to the social enterprise. 2 Condition A is that the shares must carry none of the following— a a right to a return which, or any part of which, is a fixed amount;
- debt relief order
means such an order under— (a) Part 7A of the Insolvency Act 1986, or (b) Part 7A of the Insolvency (Northern Ireland) Order 1989 (S.I. 1989/2405 (N.I. 19));
- defeat notice
has the meaning given by section 241A(7);
- derivative contract
has the meaning given by international accounting standards.”
- designated
means designated by an order made by the Commissioners for Her Majesty's Revenue and Customs for the purposes of that provision. 4 An order made for the purposes of subsection (2)(b) may designate an exchange by name, or by reference to any class or description of exchanges, including a class or description framed by reference to any authority or approval given in a country outside the United Kingdom. 5 The arrangements referred to in subsection (1)(b), and the second arrangements referred to in subsection (1)(c), do not include arrangements in consequence of which any shares, stocks, debentures or other securities of the social enterprise or the new company (as the case may be) are at any subsequent time— a listed on a stock exchange that is a recognised stock exchange by virtue of an order under section 1005(1)(b), or b listed on an exchange, or dealt in by any means, designated by an order made for the purposes of subsection (2)(b) or (c), if the order was made after the beginning of the shorter applicable period. 257ME 1 The social enterprise must not at any time in the shorter applicable period control (whether on its own or together with any person connected with
- designated HMRC officer
means an officer of Revenue and Customs who has been designated by the Commissioners for the purposes of this Part;
- director
has the meaning given by section 67 of ITEPA;
- disabled person
has the meaning given by Schedule 1A to FA 2005.”
- disclosure provision
means any of the following—
- disqualifying event
includes any additional disqualifying transaction. 3 The following are “additional disqualifying transactions” if they are not made in furtherance of the charitable purposes of C— a any transfer by C of a major interest in the whole or any part of the chargeable interest acquired by C under the relevant transaction;
- distinct investment
means an investment, made on a single day, in— a a single share or single qualifying debt investment, or b two or more shares, or two or more qualifying debt investments, where the shares or qualifying debt investments are in the same social enterprise and of the same class. 4 If under this section an amount of any reduction in income tax is attributed to a distinct investment— a in the case of a distinct investment of the kind mentioned in subsection (3)(a), that amount is attributed to the share, or qualifying debt investment, concerned, and b in the case of a distinct investment of the kind mentioned in subsection (3)(b), a proportionate part of that amount is attributed to each of the shares, or qualifying debt investments, concerned. 5 If corresponding bonus shares are issued to an individual in respect of any shares (“the original shares”) to which SI relief is attributed— a a proportionate part of the total amount attributed to the original shares immediately before the bonus shares are issued is attributed to each of the shares in the holding comprising the original shares and the bonus shares, and b after the issue of the bonus shares, this Part appli
- distribution
includes (but is not limited to) a distribution within the meaning of section 989, • “reduction of share capital” has the same meaning as in section 1027A(2) of CTA 2010, and • “the restricted period” means the period of 3 years beginning at the end of the accounting period of the company in which the shares were issued.”
- double defeat notice
has the meaning given by section 241A(7);
- Dramatic production
means a production of a play, opera, musical, or other dramatic piece (whether or not involving improvisation) in relation to which the following conditions are met— a the actors, singers, dancers or other performers are to give their performances wholly or mainly through the playing of roles, b each performance in the proposed run of performances is to be live, and c the presentation of live performances is the main object, or one of the main objects, of the company's activities in relation to the production. 3 “Dramatic piece” may also include, for example, a show that is to be performed by a circus. 4 For the purposes of this section a performance is “live” if it is to an audience before whom the performers are actually present. 1217FB 1 A dramatic production or ballet is not regarded as a theatrical production if— a the main purpose, or one of the main purposes, for which it is made is to advertise or promote any goods or services, b the performances are to consist of or include a competition or contest, c a wild animal is to be used in any performance, d the production is of a sexual nature (see subsection (3)), or e the making of a relevant recording is
- Duplicate information
means information which is contained in or accompanies— a a return which another person gives for the tax year under this section, or b a return which any person gives for the tax year under any of the following provisions— i paragraph 81B of Schedule 2 (annual return for Schedule 2 SIP);
- dutiable excise goods
means goods of a class or description subject to any duty of excise, whether or not those goods are in fact chargeable with that duty, and whether or not that duty has been paid on the goods;
- Eligible employee
means— a if C meets the trading requirement by virtue of section 236I(1)(a), any individual who is employed by, or is an office-holder of, C, and b if C meets the trading requirement by virtue of section 236I(1)(b), any individual who is employed by, or is an office-holder of, a relevant group company, but does not include an excluded participator. 4 But where— a C has ceased to meet the trading requirement or the trustees have ceased to hold any shares in C (or both), and b a person was an eligible employee at any time during the period of two years ending immediately before that event (or, where both have occurred, the earlier of them), that person continues to be an “eligible employee”. 5 “Excluded participator” means— a a person who is a participator in C, or, where C meets the trading requirement by virtue of section 236I(1)(b), in any relevant group company, b any other person who is a participator in any close company that has made a disposition whereby property became comprised in the same settlement, being a disposition which but for section 13 or 13A of the Inheritance Tax Act 1984 (dispositions by close companies for benefit of employees or to employe
- employer
means the employer of the continental shelf worker;
- enactment
means any provision made by or under an Act (whether before or after the passing of this Act);
- Excluded participator
means— a a person who is a participator in C, or, where C meets the trading requirement by virtue of section 236I(1)(b), in any relevant group company, b any other person who is a participator in any close company that has made a disposition whereby property became comprised in the same settlement, being a disposition which but for section 13 or 13A of the Inheritance Tax Act 1984 (dispositions by close companies for benefit of employees or to employee-ownership trusts) would have been a transfer of value for the purposes of inheritance tax, c any other person who has been a participator in any company mentioned in paragraph (a) or (b) at any time on or after the look-back date, or d any person who is connected with any person within paragraph (a), (b) or (c). 6 The participators in a company who are referred to in subsection (5) do not include any participator who— a is not beneficially entitled to, or to rights entitling the participator to acquire, 5% or more of, or of any class of the shares comprised in, the company's share capital, and b on a winding-up of the company would not be entitled to 5% or more of its assets. 7 In this section— • “authorised t
- Exploration or exploitation activities
means activities carried on in connection with the exploration or exploitation of the seabed and subsoil and their natural resources. 5 “Relevant offshore area” means— a the territorial sea of the United Kingdom;
- film
has the same meaning as in Part 15 (see section 1181);
- final determination
means— (a) a conclusion stated in a closure notice under paragraph 34 of Schedule 18 to FA 1998 against which no appeal is made;
- financial spread bet
means a spread bet the subject of which is a financial matter, and • “non-financial spread bet” means any other spread bet.
- firm
has the same meaning as in the Partnership Act 1890.
- firm approach
has the meaning given by section 235(4);
- Follow-on conduct notice
means a conduct notice taking effect immediately after the monitoring notice ceases to have effect.
- follower notice
means a follower notice under Chapter 2 of Part 4 of FA 2014.
- freeplay
means participation, in reliance on a freeplay offer, in— (a) remote gaming, or (b) an activity in respect of which a gambling tax listed in section 161(4) is charged;
- freeplay offer
means an offer which waives all or part of— (a) a gaming payment, or (b) a payment in connection with participation in an activity in respect of which a gambling tax listed in section 161(4) is charged.
- gambling tax
means—
- game of chance
has the meaning given by section 6(2) of the Gambling Act 2005.
- gaming
means playing a game of chance for a prize, and
- General Block Exemption Regulation
means Commission Regulation (EU) No 651/2014 (General block exemption Regulation);
- group
has the meaning given by section 357GD of CTA 2010;
- haulage vehicle
has the same meaning as in paragraph 7(2) of Schedule 1 to VERA 1994;
- HMRC
means Her Majesty's Revenue and Customs;
- hold-over relief
means relief under Schedule 8B to TCGA 1992;
- incidental purposes
means purposes having no significant effect (other than in relation to incidental matters) on the extent of the activities of the body in question, • “mainly trading subsidiary” means a qualifying subsidiary which, apart from incidental purposes, exists wholly for the purpose of carrying on one or more qualifying trades, and any reference to the main purpose of such a subsidiary is to be read accordingly, • “non-qualifying activities” means— (a) excluded activities, and (b) activities, other than activities carried on by a charity, that are carried on otherwise than in the course of a trade, and • “non-trade activities” means activities which are neither of the following— (a) activities carried on in the course of a trade, and (b) activities carried on in the course of preparing to carry on a trade. 257MK 1 The social enterprise is not regarded as ceasing to meet the trading requirement merely because of anything done in consequence of the social enterprise or any of its subsidiaries being in administration or receivership, but this is subject to subsections (2) and (3). 2 Subsection (1) applies only if— a the entry into administration or receivership, and b e
- income
means employment income or profits of a trade, profession or vocation (including profits treated as arising as a result of section 13 of ITTOIA 2005).
- index of defined expressions
means a provision contained in an Act relating to taxation which lists where expressions used in the Act, or in a particular part of the Act, are defined or otherwise explained.
- indirect tax
has the same meaning as in Schedule 17 to FA 2017.
- Inflated member-related expenditure
means— a employment expenditure incurred in respect of the employment of a member of the club, by the company, where that employment is otherwise than on an arm's length basis, or b expenditure incurred on a supply of goods and services to the club by— i a member of the club, or ii a member-controlled body, otherwise than on an arm's length basis. 3 But if the features of an employment or supply which cause it to be otherwise than on an arm's length basis, when taken together, are more advantageous to the company than if the employment or supply had been on an arm's length basis, any expenditure incurred in respect of the employment or on the supply is not inflated member-related expenditure. 4 A company is “member-controlled” if a member of the club has (or two or more members acting together have) the power to secure— a by means of the holding of shares or the possession of voting power in relation to that or any other body corporate, or b as a result of any powers conferred by the articles of association or other document regulating that or any other body corporate, that the affairs of the company are conducted in accordance with the wishes
- initial treatment
has the meaning given by section 12(1) of OTA 1975;
- insignificant receipt
means a receipt whose amount— a is not more than £1,000, or b is more than £1,000 but is insignificant in relation to the amount invested. 2 Section 257Q(1) does not apply to an insignificant receipt, subject as follows. 3 Section 257Q(1) applies to all receipts within the longer applicable period if, at any time on the investment date or in the preceding 12 months, arrangements are in existence providing for the investor to receive, or to be entitled to receive, value from the social enterprise at any time in the longer applicable period. 4 Once section 257Q(1) has applied to a receipt, it applies also to all other receipts within the longer applicable period except any earlier insignificant receipts. 5 The amount of the first receipt to which section 257Q(1) applies is treated as increased by the total amount of any earlier insignificant receipts. 6 In subsection (3)— a the reference to the investor includes any person who at any time in the longer applicable period is an associate of the investor (whether or not an associate at the material time), and b the reference to the social enterprise includes any person who at any time in the longer applicable per
- intangible fixed asset
has the same meaning as in Part 8 of CTA 2009, • “non-trading credit” means— (a) a non-trading credit for the purposes of Part 5 of CTA 2009 (which is about loan relationships but also has application in relation to deemed loan relationships and derivative contracts), or (b) a non-trading credit for the purposes of Part 8 of CTA 2009 (intangible fixed assets), and • “non-trading debit” means— (a) a non-trading debit for the purposes of Part 5 of CTA 2009, or (b) a non-trading debit for the purposes of Part 8 of CTA 2009.”
- interest in land
means (subject to subsection (3))— a any estate, interest or right in or over land, including any right affecting the use or disposition of land, or b any right to obtain such an estate, interest or right from another which is conditional on the other's ability to grant it. 3 References in this section to an interest in land do not include— a the interest of a creditor (other than a creditor in respect of a rentcharge) whose debt is secured by way of mortgage, an agreement for a mortgage or a charge of any kind over land, or b in the case of land in Scotland, the interest of a creditor in a charge or security of any kind over land. 257MS 1 This section supplements section 257MQ(1)(f). 2 Electricity is exported if it is exported onto a distribution system or transmission system (within the meaning of section 4 of the Electricity Act 1989). 3 The generation of electricity is subsidised if a person receives a FIT subsidy in respect of the electricity generated. 4 The export of electricity is subsidised if a person receives a FIT subsidy in respect of the electricity exported. 5 In this section— • “FIT subsidy” means— (a) a financial incentive under a scheme establis
- interim accounting period
means any accounting period that— a is one in which the company carries on the separate theatrical trade, and b precedes the accounting period in which it ceases to do so. 2 A company is not entitled to relief under any of the relieving provisions for an interim accounting period unless— a its company tax return for the period states the amount of planned core expenditure on the theatrical production that is EEA expenditure, and b that amount is such as to indicate that the EEA expenditure condition (see section 1217GB) will be met in relation to the production.
- interim bankruptcy restrictions order
means such an order (or as the case may be, undertaking) under— (a) Schedule 4A to the Insolvency Act 1986, (b) Schedule 2A to the Insolvency (Northern Ireland) Order 1989 (S.I. 1989/2405 (N.I. 19)), or (c) Part 13 of the Bankruptcy (Scotland) Act 2016 (asp 21);
- interim debt relief restrictions order
means such an order (or as the case may be, undertaking) under— (a) Schedule 4ZB to the Insolvency Act 1986, or (b) Schedule 2ZB to the Insolvency (Northern Ireland) Order 1989 (S.I. 1989/2405 (N.I. 19)).
- judicial ruling
means a ruling of a court or tribunal on one or more issues;
- key feature
has the meaning given in paragraph 81B(8) of Schedule 2 to ITEPA 2003 (as inserted by paragraph 28 above).
- landward licence
means a licence in respect of an area which falls within the definition of “landward area” in the regulations pursuant to which the licence was applied for. 356BB 1 Activities of a company in searching for oil or causing such searching to be carried out for the company. 2 Activities of a company in extracting oil, or causing oil to be extracted for it, under rights which— a authorise the extraction, and b are held by it or by a company associated with it. 3 Activities of a company in transporting, or causing to be transported for it, oil extracted under rights which— a authorise the extraction, and b are held as mentioned in subsection (2)(b), but only if the transportation meets the condition in subsection (5). 4 Activities of the company in effecting, or causing to be effected for it, the initial treatment or initial storage of oil won from any site under rights which— a authorise its extraction, and b are held as mentioned in subsection (2)(b). 5 The condition mentioned in subsection (3) is that the transportation is to a place at which the seller in a sale at arm's length could reasonably be expected to deliver it (or, if there is more than one such place, th
- lease
has the meaning given by section 868 and “leased” and “leasing” are to be construed accordingly. 356LD In this Part the “contractor's ring fence profits”, in relation to an accounting period, means the contractor's income arising from oil contractor activities for that period. 356M If the contractor carries on oil contractor activities as part of a trade, those activities are treated for the purposes of the charge to corporation tax on income as a separate trade, distinct from all other activities carried on by the contractor as part of the trade. 356N 1 This section applies if the contractor makes, or is to make, one or more payments under a lease of— a a relevant asset, or b part of a relevant asset. 2 The total amount that may be brought into account in respect of the payments for the purposes of calculating the contractor's ring fence profits in an accounting period is limited to the hire cap. 3 The “hire cap” is an amount equal to the relevant percentage of TC for the accounting period, subject to subsection (4). 4 If payments in relation to which subsection (2) or section 285A(2) (restriction on hire for company carrying on a ring fence trade under Part 8) applies are
- licence
has the same meaning as in Part 1 of OTA 1975 (see section 12(1) of that Act);
- licensed area
has the same meaning as in Part 1 of OTA 1975;
- licensee
has the same meaning as in Part 1 of OTA 1975;
- light exceptional load vehicle
means an exceptional load vehicle which is not charged to HGV road user levy;
- linked company
means— (a) a subsidiary of the social enterprise, (b) a company which is a partner of the social enterprise, or (c) a company which is a partner of a subsidiary of the social enterprise;
- linked loan
means any loan which— a would not have been made, or b would not have been made on the same terms, if the investor had not made the investment, or had not been proposing to do so. 3 References in this section to the making by any person of a loan to the investor or an associate of the investor include— a references to the giving by that person of any credit to the investor or any associate of the investor, and b references to the assignment to that person of a debt due from the investor or any associate of the investor. 257LE The investment must not be made as part of any arrangements the main purpose or one of the main purposes of which is the avoidance of tax. 257LF 1 This section applies— a to the investor, and b to any individual who is an associate of the investor. 2 An individual to whom this section applies must not at any time in the longer applicable period be— a an employee of— i the social enterprise, ii any subsidiary of the social enterprise, iii a partner of the social enterprise, or iv a partner of any subsidiary of the social enterprise, b a partner of— i the social enterprise, or ii any subsidiary of the social enterprise, c a trustee of— i the social
- loss relief
includes any means by which a loss might be used to reduce the amount in respect of which a company, or any other person, is chargeable to tax. 1217MA 1 Subsection (2) applies if a loss is made by the company in the separate theatrical trade in an accounting period preceding the completion period. 2 The loss is not available for loss relief, except to the extent that the loss may be carried forward under section 45 of CTA 2010 to be set against profits of the separate theatrical trade in a subsequent period. 1217MB 1 Subsection (2) applies if a loss made in the separate theatrical trade is carried forward under section 45 of CTA 2010 to the completion period. 2 So much (if any) of the loss as is not attributable to relief under section 1217H (see subsection (4)) may be treated for the purposes of loss relief as if it were a loss made in the completion period. 3 If a loss is made in the separate theatrical trade in the completion period, the amount of the loss that may be— a deducted from total profits of the same or an earlier period under section 37 of CTA 2010, or b surrendered as group relief under Part 5 of that Act, is restricted to the amount (if any) that is no
- mainly trading subsidiary
means a qualifying subsidiary which, apart from incidental purposes, exists wholly for the purpose of carrying on one or more qualifying trades, and any reference to the main purpose of such a subsidiary is to be read accordingly, • “non-qualifying activities” means— (a) excluded activities, and (b) activities, other than activities carried on by a charity, that are carried on otherwise than in the course of a trade, and • “non-trade activities” means activities which are neither of the following— (a) activities carried on in the course of a trade, and (b) activities carried on in the course of preparing to carry on a trade. 257MK 1 The social enterprise is not regarded as ceasing to meet the trading requirement merely because of anything done in consequence of the social enterprise or any of its subsidiaries being in administration or receivership, but this is subject to subsections (2) and (3). 2 Subsection (1) applies only if— a the entry into administration or receivership, and b everything done as a result of the company concerned being in administration or receivership, is for genuine commercial reasons, and is not part of any arrangements the main
- medical treatment
means all procedures for diagnosing or treating any physical or mental illness, infirmity or defect;
- Metallurgical process
means a process of any of the following descriptions. 4 The descriptions are— a a process falling within Division 24 of NACE Rev 2, excluding Class 24.46;
- Mineralogical process
has the same meaning as in Article 2(4)(b) of Council Directive 2003/96/EC of 27 October 2003 (which relates to the taxation of energy products and electricity). 3 “Metallurgical process” means a process of any of the following descriptions. 4 The descriptions are— a a process falling within Division 24 of NACE Rev 2, excluding Class 24.46;
- Minister of Crown
has the meaning given by section 8(1) of the Ministers of the Crown Act 1975. 257K 1 An individual (“the investor”) who invests in a social enterprise is eligible for SI relief in respect of the amount invested if— a the investment is made— i by the investor on the investor's own behalf, ii on or after 6 April 2014, and iii before 6 April 2019 (but see subsection (5)), and b the conditions set out in Chapters 3 and 4 are met. 2 Subsection (1)(b) is subject to the provisions in sections 257LB and 257MJ to 257MN which provide for conditions set out in those sections not to apply where the social enterprise is an accredited social impact contractor. 3 The investor is not eligible for SI relief in respect of the amount invested if— a the investor has obtained in respect of that amount, or any part of it, relief under— i Part 5 (enterprise investment scheme), ii Part 5A (seed enterprise investment scheme), or iii Part 7 (community investment tax relief), or b that amount, or any part of it, has under Schedule 5B to TCGA 1992 (enterprise investment scheme: re-investment) been set against a chargeable gain. 4 Investments made by, subscribed for, issued to, held by or d
- Minister of the Crown
has the meaning given by section 8(1) of the Ministers of the Crown Act 1975. 257T 1 This section applies if— a the investor transfers the whole or part of the investment to another individual (“B”) during their lives, b the investor was married to, or was the civil partner of, B at the time of the transfer, and c section 257R does not apply to the transfer. 2 This Part (including subsection (1)) has effect, in relation to any subsequent disposal or other event, as if— a B were the investor as respects the transferred stake, b B's liability to income tax had been reduced in respect of the transferred stake for the same tax year as that for which the investor's was so reduced, c the amount by which B's liability to income tax had been reduced in respect of the transferred stake were the same as that by which the investor's liability had been so reduced, and d the same amount of SI relief had continued to be attributable to the transferred stake despite the transfer. 3 If the amount of SI relief attributable to the transferred stake had been reduced before the relief was obtained by the investor— a this Part has effect, in relation to any subsequent disposal o
- modify
includes amend, repeal or revoke.
- money
includes any amount credited and any other money's worth.
- monitored promoter
has the meaning given by section 244(5);
- monitoring notice
means a notice given under section 244(1) or paragraph 9(2) or (3) or 10(3)(b) or (4)(b) of Schedule 36;
- national authority
means— (a) the Secretary of State, or (b) a Northern Ireland Department. 356JA Section 5 of CAA 2001 (when capital expenditure is incurred) applies for the purposes of this Chapter as for the purposes of that Act. 356JB In this Chapter (except where otherwise specified)— • “adjusted ring fence profits”, in relation to a company and an accounting period, means the adjusted ring fence profits that would (if this Chapter were ignored) be taken into account in calculating the supplementary charge on the company under section 330(1) for the accounting period (but see also section 356DB);
- new accounting period
means an accounting period beginning on or after 1 December 2014.
- new order
means an order made on or after the day on which this Act is passed.
- Nominated partner
means a partner nominated by a majority of the partners to act as the representative of the partnership for the purposes of this Part of this Act.
- non-financial spread bet
means any other spread bet.
- non-qualifying activities
means— (a) excluded activities, and (b) activities, other than activities carried on by a charity, that are carried on otherwise than in the course of a trade, and • “non-trade activities” means activities which are neither of the following— (a) activities carried on in the course of a trade, and (b) activities carried on in the course of preparing to carry on a trade. 257MK 1 The social enterprise is not regarded as ceasing to meet the trading requirement merely because of anything done in consequence of the social enterprise or any of its subsidiaries being in administration or receivership, but this is subject to subsections (2) and (3). 2 Subsection (1) applies only if— a the entry into administration or receivership, and b everything done as a result of the company concerned being in administration or receivership, is for genuine commercial reasons, and is not part of any arrangements the main purpose or one of the main purposes of which is the avoidance of tax. 3 The social enterprise ceases to meet the trading requirement if before the end of the shorter applicable period— a a resolution is passed, or an order is made, for the winding-up of the so
- non-savings income
means income which is not savings income. 5 This section is subject to— • section 13 (income charged at the dividend ordinary, upper and additional rates: individuals), and • any provisions of the Income Tax Acts (apart from section 10) which provide for income of an individual to be charged at different rates of income tax in some circumstances. 6 Section 16 has effect for determining the extent to which the non-savings income of a Scottish taxpayer would otherwise be charged at the basic, higher or additional rate.”
- non-trade activities
means activities which are neither of the following— (a) activities carried on in the course of a trade, and (b) activities carried on in the course of preparing to carry on a trade. 257MK 1 The social enterprise is not regarded as ceasing to meet the trading requirement merely because of anything done in consequence of the social enterprise or any of its subsidiaries being in administration or receivership, but this is subject to subsections (2) and (3). 2 Subsection (1) applies only if— a the entry into administration or receivership, and b everything done as a result of the company concerned being in administration or receivership, is for genuine commercial reasons, and is not part of any arrangements the main purpose or one of the main purposes of which is the avoidance of tax. 3 The social enterprise ceases to meet the trading requirement if before the end of the shorter applicable period— a a resolution is passed, or an order is made, for the winding-up of the social enterprise or any of its subsidiaries (or, in the case of a winding-up otherwise than under the Insolvency Act 1986 or the Insolvency (Northern Ireland) Order 1989 (S.I. 1989/2405 (N.I. 19)
- non-trading credit
means— (a) a non-trading credit for the purposes of Part 5 of CTA 2009 (which is about loan relationships but also has application in relation to deemed loan relationships and derivative contracts), or (b) a non-trading credit for the purposes of Part 8 of CTA 2009 (intangible fixed assets), and • “non-trading debit” means— (a) a non-trading debit for the purposes of Part 5 of CTA 2009, or (b) a non-trading debit for the purposes of Part 8 of CTA 2009.”
- non-trading debit
means— (a) a non-trading debit for the purposes of Part 5 of CTA 2009, or (b) a non-trading debit for the purposes of Part 8 of CTA 2009.”
- non-UK income tax
means a tax chargeable on income under the law of a territory outside the United Kingdom that corresponds to United Kingdom income tax. 7C A tax is not outside the scope of subsection (7B) by reason only that it— a is chargeable under the law of a province, state or other part of a country, or b is levied by or on behalf of a municipality or other local body.”
- notified client
means—
- oil
means any substance capable of being won under the authority of a licence granted under Part 1 of the Petroleum Act 1998 or the Petroleum (Production) Act (Northern Ireland) 1964;
- oil asset
has the same meaning as in section 198E, and section 198I applies for the purposes of this section as it applies for the purposes of section 198E;
- Oil contractor activities
means activities carried on by a company (“the contractor”), which are not oil-related activities (within the meaning of section 274), but are— a exploration or exploitation activities in, or in connection with, which the contractor provides, operates or uses a relevant asset (see section 356LA) in a relevant offshore service, or b otherwise carried on in, or in connection with, the provision by the contractor of a relevant offshore service. 3 The contractor provides a “relevant offshore service” if the contractor provides, operates or uses a relevant asset in, or in connection with, the carrying on of exploration or exploitation activities in a relevant offshore area by the contractor or any other associated person. 4 “Exploration or exploitation activities” means activities carried on in connection with the exploration or exploitation of the seabed and subsoil and their natural resources. 5 “Relevant offshore area” means— a the territorial sea of the United Kingdom;
- onshore allowance
has the meaning given by section 356C(5);
- onshore oil-related activities
means activities of a company which are carried on onshore and— a fall within any of subsections (1) to (4) of section 356BB, or b consist of the acquisition, enjoyment or exploitation of oil rights. 2 Activities of a company are carried on “onshore” if they are authorised— a under a landward licence under Part 1 of the Petroleum Act 1998 or the Petroleum (Production) Act 1934, or b under a licence under the Petroleum (Production) Act (Northern Ireland) 1964. 3 In subsection (2)(a) “landward licence” means a licence in respect of an area which falls within the definition of “landward area” in the regulations pursuant to which the licence was applied for. 356BB 1 Activities of a company in searching for oil or causing such searching to be carried out for the company. 2 Activities of a company in extracting oil, or causing oil to be extracted for it, under rights which— a authorise the extraction, and b are held by it or by a company associated with it. 3 Activities of a company in transporting, or causing to be transported for it, oil extracted under rights which— a authorise the extraction, and b are held as mentioned in subsection (2)(b), but only
- ordinary share capital
has the meaning given by section 1119 of the Corporation Tax Act 2010.”
- ordinary shares
means shares forming part of a company's ordinary share capital, • “parent company” means a company that has one or more qualifying subsidiaries, • “qualifying subsidiary” has the meaning given by section 257MU, and • “single company” means a company that does not have any qualifying subsidiaries. 2 For the purposes of this Part, the market value at any time of any asset is the price which it might reasonably be expected to fetch on a sale at that time in the open market free from any interest or right which exists by way of security in or over it.”
- ordinary trade debt
means any debt for goods or services supplied in the ordinary course of a trade or business if any credit given— a is for not more than 6 months, and b is not for longer than that normally given to customers of the person carrying on the trade or business. 257QF In a case falling within a provision listed in column 1 of the following table, the amount of value received for the purposes of sections 257Q and 257QB is given by the corresponding entry in column 2 of the table. 257QG In sections 257Q, 257QA, 257QB, 257QE and 257QF— a any reference to a payment or transfer to the investor includes a reference to a payment or transfer made to the investor indirectly or to the investor's order or for the investor's benefit, b any reference to the investor includes a reference to an associate of the investor, and c any reference to the social enterprise includes a reference to a person who at any time in the longer applicable period is connected with the social enterprise (whether or not that person is so connected at the material time). 257QH 1 If— a any SI relief attributable to the investment would, in the absence of this section, be reduced or withdrawn under secti
- original forfeitable securities
means the restricted securities by virtue of the application to which of section 425(2) subsections (13) and (14) apply to the old securities. 18 In this section references to restricted securities include a restricted interest in securities.”
- other arrangements
means—
- parent company
means a company that has one or more qualifying subsidiaries, • “qualifying subsidiary” has the meaning given by section 257MU, and • “single company” means a company that does not have any qualifying subsidiaries. 2 For the purposes of this Part, the market value at any time of any asset is the price which it might reasonably be expected to fetch on a sale at that time in the open market free from any interest or right which exists by way of security in or over it.”
- participator
has the meaning given by section 454 of CTA 2010, and b references to a participator in a company are, in the case of a company which is not a close company (within the meaning of Chapter 2 of Part 10 of that Act), to be construed as references to a person who would be a participator in the company if it were a close company. 236O 1 This section applies where— a a disposal is made in circumstances where paragraphs (a) and (b) of section 236H(1) are satisfied, and b one or more disqualifying events occur in relation to the disposal in the tax year following the tax year in which the disposal occurs. 2 A “disqualifying event” occurs in relation to the disposal if and when— a C ceases to meet the trading requirement, b the settlement ceases to meet the all-employee benefit requirement, c the settlement ceases to meet the controlling interest requirement, d the participator fraction exceeds 2/5, or e the trustees act in a way which the trusts, as required by the all-employee benefit requirement, do not permit. 3 No claim for relief under section 236H may be made in respect of the disposal on or after the day on which the disqualifying event (or, if more than one, the fir
- partner payment notice
has the meaning given by paragraph 3 of Schedule 32;
- partnership
includes a limited liability partnership whether or not section 863(1) of ITTOIA 2005 applies in relation to it, and • “tax advantage” means a tax advantage, as defined in section 1139 of CTA 2010, in relation to income tax or the charge to corporation tax on income. 809DZB 1 The relevant amount is to be treated as income of the transferor chargeable to income tax in the same way and to the same extent as that in which it— a would have been chargeable to income tax as income of the transferor, or b would have been brought into account as income in calculating profits of the transferor for income tax purposes, as mentioned in section 809DZA(9). 2 Section 809AZB(3) to (6) applies
- Partnership follower notice
means a follower notice given by reason of—
- Partnership return
means a return in pursuance of a notice under section 12AA(2) or (3) of TMA 1970.
- Person
includes a partnership
- personal liability notice
has the meaning given by regulation 97ZB(2);
- post-commencement authorisation day
means an authorisation day (as defined for Chapter 7 of Part 8 of CTA 2010) that is 5 December 2013 or a later day.
- Pre-commencement interest
means an amount of interest to the extent that it is, in accordance with generally accepted accounting practice, referable to a period before 25 October 2013.
- prescribed
means prescribed, or of a description prescribed, in regulations made by the Commissioners;
- Privileged information
means information with respect to which a claim to legal professional privilege by the person who would (ignoring the effect of this section) be required to disclose it, could be maintained in legal proceedings.
- proceedings
includes any sort of proceedings for resolving disputes (and not just proceedings in court), whether commenced or contemplated;
- production company
has the meaning given by section 1217FC;
- professional body
means—
- promoter
has the same meaning as in Part 7 of the Finance Act 2004, and b “relevant person” means a person who enters into any transaction forming part of notifiable arrangements within the meaning of that Part.”
- promoter reference number
has the meaning given by section 250(5);
- property development
means the development of land— a by a company which has, or at any time has had, an interest in the land, and b with the sole or main object of realising a gain from the disposal of an interest in the land when it is developed. 2 For the purposes of subsection (1) “interest in land” means (subject to subsection (3))— a any estate, interest or right in or over land, including any right affecting the use or disposition of land, or b any right to obtain such an estate, interest or right from another which is conditional on the other's ability to grant it. 3 References in this section to an interest in land do not include— a the interest of a creditor (other than a creditor in respect of a rentcharge) whose debt is secured by way of mortgage, an agreement for a mortgage or a charge of any kind over land, or b in the case of land in Scotland, the interest of a creditor in a charge or security of any kind over land. 257MS 1 This section supplements section 257MQ(1)(f). 2 Electricity is exported if it is exported onto a distribution system or transmission system (within the meaning of section 4 of the Electricity Act 1989). 3 The generation of electricity is subsidi
- property-managing subsidiary
means a subsidiary of the social enterprise whose business consists wholly or mainly in the holding or managing of land or any property deriving its value (directly or indirectly) from land. 257MH 1 If the social enterprise is a single company, the full-time equivalent employee number for it must be less than 500 when the investment is made. 2 If the social enterprise is a parent company, the sum of— a the full-time equivalent employee number for it, and b the full-time equivalent employee number for each of its qualifying subsidiaries, must be less than 500 when the investment is made. 3 The full-time equivalent employee number for a company is calculated by taking the number of full-time employees of the company and adding, for each employee of the company who is not a full-time employee, such fraction as is just and reasonable. 4 In this section “employee”— a includes a director, but b does not include— i an employee on maternity or paternity leave, or ii a student on vocational training. 257MI 1 The requirements in this section apply during the shorter applicable period. 2 The social enterprise must not be a member of any partnership. 3 Each 90% s
- qualifying central counterparty
means a central counterparty that has been either authorised or recognised under the EMIR Regulation, • “trade” means a transaction relating to the sale and purchase of a financial instrument or to the entering into of a derivative contract.”
- qualifying company
means a company which— a is under the control of the candidate company or of a company which has control of the candidate company, and b exists wholly or mainly for either or both of the purposes mentioned in subsection (2)(a) and (b). 7 In this section— • “accounting period” has the meaning given by section 1119 of CTA 2010, • “close company” includes a company which— (a) is resident in an EEA state other than the United Kingdom, and (b) if it were UK resident, would be a close company, • “control” has the meaning given by section 450 of CTA 2010, and • “relative” means brother, sister, ancestor or lineal descendant.”
- qualifying expenditure
has the meaning given by section 1217JA;
- qualifying gift
has the same meaning as in Schedule 14 to FA 2012.
- qualifying payment
means a qualifying payment for the purposes of Chapter 2, and • “registered club” has the same meaning as in Chapter 2, and any reference to a member of the club includes a reference to a person connected with a member of the club. 202C 1 This section applies for the purposes of section 202B. 2 “Inflated member-related expenditure” means— a employment expenditure incurred in respect of the employment of a member of the club, by the company, where that employment is otherwise than on an arm's length basis, or b expenditure incurred on a supply of goods and services to the club by— i a member of the club, or ii a member-controlled body, otherwise than on an arm's length basis. 3 But if the features of an employment or supply which cause it to be otherwise than on an arm's length basis, when taken together, are more advantageous to the company than if the employment or supply had been on an arm's length basis, any expenditure incurred in respect of the employment or on the supply is not inflated member-related expenditure. 4 A company is “member-controlled” if a member of the club has (or two or more members acting together have) the power to secure— a by means of
- qualifying relevant programme
means a relevant programme in relation to which the conditions for television tax relief are met (see section 1216C(2)).”
- Qualifying site
means a site whose development (in whole or in part) is authorised for the first time on or after 5 December 2013. 4 Capital expenditure incurred by a company is “relievable” only if, and so far as— a it is incurred for the purposes of onshore oil-related activities (see section 356BA), and b neither of the disqualifying conditions is met at the beginning of the day on which the expenditure is incurred (see section 356CA). 5 Allowance held under this Chapter is called “onshore allowance”. 6 Onshore allowance is said in this Chapter to be “generated” at the time when the capital expenditure is incurred (see section 356JA). 7 Onshore allowance is referred to in this Chapter as being generated— a “by” the company concerned, b “at” the site concerned. 8 Where capital expenditure is incurred only partly for the purposes of onshore oil-related activities, or the onshore oil-related activities for the purposes of which capital expenditure is incurred are carried on only partly in relation to a particular site, the expenditure is to be attributed to the site concerned on a just and reasonable basis. 9 In this section, references to authorisation of development of a site—
- qualifying subsidiary
has the meaning given by section 257MU, and • “single company” means a company that does not have any qualifying subsidiaries. 2 For the purposes of this Part, the market value at any time of any asset is the price which it might reasonably be expected to fetch on a sale at that time in the open market free from any interest or right which exists by way of security in or over it.”
- qualifying video game
means a video game in relation to which the conditions for video games tax relief are met (see section 1217C(2)).”
- quality
includes timing, nature and extent.
- Recognised growth market
means a market recognised as a growth market by the Commissioners for Her Majesty's Revenue and Customs. 4 On an application made by a market, the market is to be recognised by the Commissioners as a growth market if, and only if, the Commissioners are satisfied, on the basis of evidence provided by the market, that the market qualifies for recognition. 5 A market qualifies for recognition at any time (“the relevant time”) if it is a recognised stock exchange which meets one or both of the following conditions— a a majority of the companies whose stock or marketable securities are admitted to trading on the market are companies with market capitalisations of less than £170 million;
- recognised stock exchange
has the meaning given by section 1005(1) of the Income Tax Act 2007. 7 For the purposes of subsection (5)(a) a company's market capitalisation at the relevant time is the average of the closing market capitalisations of the company on the last trading day of each calendar month (or part of a calendar month) in the qualifying period. 8 “The qualifying period” means whichever is the shorter of— a the last three calendar years preceding the relevant time, or b the period beginning with the day on which the company is admitted to trading on the market and ending at the end of the last calendar year preceding the relevant time. 9 For the purposes of subsection (5)(a), a company is to be disregarded if it is admitted to trading on the market in the calendar year in which the relevant time falls. 10 In the case of a company with a market capitalisation in a currency other than sterling, the closing market capitalisation for the last trading day of any calendar month is to be taken, for the purposes of subsection (7), to be the sterling equivalent of that capitalisation (calculated by reference to the spot rate of exchange for that last trading day). 11 For the
- reduction of share capital
has the same meaning as in section 1027A(2) of CTA 2010, and • “the restricted period” means the period of 3 years beginning at the end of the accounting period of the company in which the shares were issued.”
- registered club
has the meaning given by section 658(6) (clubs registered as community amateur sports clubs).”
- Regulated firm
means a firm carrying on a regulated activity within the meaning of the Financial Services and Markets Act 2000 (see section 22 of that Act);
- regulations
means regulations made by the Treasury. 257JG 1 An accreditation under section 257JD has effect for a period— a beginning with the day specified in the accreditation, and b of a length specified in, or determined in accordance with, the accreditation. 2 The day specified under subsection (1)(a) in an accreditation may not be earlier than 6 April 2014 but subject to that— a may be, or be earlier than, the day it is decided to grant the accreditation (and in particular may be, or be earlier than, the day the application for the accreditation is made), and b may be earlier than the day section 257JD comes into force. 3 This section has effect subject to sections 257JD(4) and 257JF(3)(d)(i) (withdrawal of accreditations). 257JH 1 A Minister of the Crown may delegate any function given to a Minister of the Crown by or under sections 257JD to 257JG other than a power of the Treasury to make regulations. 2 In those sections and this section “Minister of Crown” has the meaning given by section 8(1) of the Ministers of the Crown Act 1975. 257K 1 An individual (“the investor”) who invests in a social enterprise is eligible for SI relief in respect of the amount invested if— a t
- related company
means— a the social enterprise, or b a company which at any time in the longer applicable period is a 51% subsidiary of the social enterprise (and such a company is therefore a related company for the purposes of this section even at times when it is not a 51% subsidiary of the social enterprise). 3 There must not be any time in the longer applicable period when an individual to whom this section applies has control of a related company. 4 There must not be any time in the longer applicable period when an individual to whom this section applies directly or indirectly possesses or is entitled to acquire— a more than 30% of the ordinary share capital of a related company, b more than 30% of the loan capital of a related company, or c more than 30% of the voting power in a related company. 5 For the purposes of subsections (3) and (4) ignore any shares in a related company held by the individual, or by an associate of the individual, at a time when that company— a has not issued any shares other than subscriber shares, and b has not begun to carry on, or make preparations for carrying on, any trade or business. 6 For the purposes of this section, the loan capital of
- related person
means— (a) the social enterprise, (b) a person connected with the social enterprise, (c) a linked company of which the individual is a director, or (d) a person connected with such a company;
- relative
means spouse, civil partner, ancestor or lineal descendant. 257TD 1 In this Part “control” is to be read in accordance with sections 450 and 451 of CTA 2010 but as if “company” in those sections included a charity that is a trust. 2 For the purposes of this Part, a charity that is a trust has “control” of another person if, as a result of the operation of subsection (1), the trustees (in their capacity as trustees of the trust) have, or any of them has, control of the person. 3 A person has “control” of a charity that is a trust if— a the person is a trustee of the charity and some or all of the powers of the trustees of the charity could be exercised by— i the person acting alone, or ii by the person acting together with any other persons who are trustees of the charity and who are connected with the person, b the person, alone or together with other persons, has power to appoint or remove a trustee of the charity, or c the person, alone or together with other persons, has any power of approval or direction in relation to the carrying-out by the trustees of any of their functions. 4 Subsection (3) is in addition to, and does not limit, subsection (1);
- relevant accounting period
means an accounting period ending before, but ending not more than 6 years before, “the relevant day” as defined by section 18F of CTA 2009. 431C 1 Subsection (2) applies if— a an election under section 18A of CTA 2009 has effect in relation to a company, and b but for section 18A of CTA 2009 and section 431A(2)(b), an allowance under this Part (“the notional allowance”) could be claimed under section 3(1) in respect of assets provided for the purposes of a permanent establishment outside the United Kingdom through which business is or has been carried on by the company. 2 The notional allowance (and any charge in connection with it which would have arisen if the
- relevant arrangements
has the meaning given by section 234(2);
- relevant asset
has the meaning given by section 356LA;
- relevant body
has the same meaning as in Part 3 of this Schedule;
- relevant communications
means communications between the tax adviser and— (a) a person in relation to whose tax affairs the tax adviser has been appointed, or (b) any other tax adviser of such a person, the purpose of which is the giving or obtaining of advice about any of those tax affairs, and • “tax adviser” means a person appointed to give advice about the tax affairs of another person (whether appointed directly by that person or by another tax adviser of that person).
- Relevant court or tribunal
means the tribunal or court from which permission or leave to appeal is sought.”
- relevant document
means—
- relevant E&A assets
means assets which— (a) are used, and used only, for the purposes of E&A activities carried on by the company throughout the period of ownership, and (b) are within the classes of assets listed in section 155 (with references to “the trade” in that section being read as references to the E&A activities);
- relevant event
means— a a person obtaining control of the company as mentioned in sub-paragraph (2)(a);