Section 257TD — Finance Act 2014: Meaning of “control”

Meaning of “control” 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); and both of those subsections are subject to subsection (5).

5 For the purposes of this Part, a regulator is to be treated as not having control of any company regulated by the regulator.

6 Section 995 of this Act (control) does not apply for the purposes of this Part.