Section 171 — Income Tax Act 2007: Persons subscribing for shares under certain arrangements

Persons subscribing for shares under certain arrangements 171 1 This section applies if an individual (“A”) subscribes for shares in a company (“ the company ”) with which A is not connected under section 167 or 170.

2 If—

a A subscribes for the shares as part of an arrangement, and b the arrangement provides for another person to subscribe for shares in another company with which (assuming it to be the issuing company) A, or any other individual who is a party to the arrangement, is connected, A is connected with the company under this section.