Section 502 — Corporation Tax Act 2009: Meaning of “financial institution”

Meaning of “financial institution” 502 1 In this Chapter “ financial institution ” means—

a a bank, as defined by section 1120 of CTA 2010 , b a building society within the meaning of the Building Societies Act 1986 (c. 53),

c a wholly-owned subsidiary of a bank within paragraph (a) or a building society within paragraph (b),

d a person authorised by a licence under Part 3 of the Consumer Credit Act 1974 (c. 39) to carry on a consumer credit business or consumer hire business within the meaning of that Act, d a person with permission under Part 4A of the Financial Services and Markets Act 2000 to enter into, or to exercise or have the right to exercise rights and duties under, a contract of the kind mentioned in paragraph 23 or paragraph 23B of Schedule 2 to that Act (credit agreements and contracts for hire of goods);

e a bond-issuer, within the meaning of section 507, but only in relation to any bond assets which are rights under purchase and resale arrangements , diminishing shared ownership arrangements or profit share agency arrangements , ... f a person authorised in a jurisdiction outside the United Kingdom—

i to receive deposits or other repayable funds from the public, and ii to grant credits for its own account, g an insurance company, as defined by section 65 of FA 2012 , or h a person who is authorised in a jurisdiction outside the United Kingdom to carry on a business which consists of effecting or carrying out contracts of insurance or substantially similar business but not an insurance special purpose vehicle as defined in section 139(1) of FA 2012 . 1A Subsection (1)(d) must be read with—

a section 22 of the Financial Services and Markets Act 2000, b any relevant order under that section, and c Schedule 2 to that Act.

2 For the purposes of subsection (1)(c) a company is a wholly-owned subsidiary of a bank or building society (“the parent”) if it has no members except—

a the parent or persons acting on behalf of the parent, and b the parent's wholly-owned subsidiaries or persons acting on behalf of the parent's wholly-owned subsidiaries.