and

f

in relation to the activities of a company owned by such an unincorporated association or other body (“the parent body”), but in the case of any assets within head A of class 1 only if they are both occupied and used by the parent body, and in the case of any other assets only if they are used by the parent body,

1A

For the purposes of subsection (1)(f) the parent body owns the company if—

a

it holds not less than 90% of the company’s ordinary share capital,

b

it is beneficially entitled to not less than 90% of the profits available for distribution to the equity holders of the company, and

c

it would be beneficially entitled on a winding up to not less than 90% of the assets of the company available for distribution to equity holders.

1B

For the purposes of subsection (1A)—

a

“ordinary share capital” has the meaning given by section 832(1) of the Taxes Act10 and also includes, in relation to a company that has no share capital, any interests in the company possessed by members of the company, and

b

the meaning of “equity holder” and method of determination of profits or assets available for distribution shall be that prescribed for the purposes of paragraph 8 of Schedule 7AC by sub-paragraphs (2) and (3) of that paragraph.