Section 994 — Income Tax Act 2007: Meaning of “connected” persons: supplementary

Meaning of “connected” persons: supplementary 994 1 In section 993 and this section— “ company ” includes any body corporate or unincorporated association, but does not include a partnership (and see also subsection (2)), “ control ” is to be read in accordance with sections 450 and 451 of CTA 2010 (except where otherwise indicated), “ principal settlement ” has the meaning given by paragraph 1 of Schedule 4ZA to TCGA 1992, “ relative ” means brother, sister, ancestor or lineal descendant, “ settlement ” has the same meaning as in Chapter 5 of Part 5 of ITTOIA 2005 (see section 620 of that Act), and “ sub-fund settlement ” has the meaning given by paragraph 1 of Schedule 4ZA to TCGA 1992.

2 For the purposes of section 993—

a a unit trust scheme is treated as if it were a company, and b the rights of the unit holders are treated as if they were shares in the company.

3 For the purposes of section 993 “trustee”, in the case of a settlement in relation to which there would be no trustees apart from this subsection, means any person—

a in whom the property comprised in the settlement is for the time being vested, or b in whom the management of that property is for the time being vested. Section 466(4) does not apply for the purposes of this subsection.

4 If any provision of section 993 provides that a person (“A”) is connected with another person (“B”), it also follows that B is connected with A.