SCHEDULES

SCHEDULE 6GROUP ACCOUNTS

Interpretation

I11

1

This paragraph applies for the purposes of this Schedule.

2

A charity is a “parent charity” if it is (or is to be treated as) a parent undertaking in relation to one or more other undertakings in accordance with the provisions of section 1162 of, and Schedule 7 to, the Companies Act 2006 (c. 46).

3

Each undertaking in relation to which a parent charity is (or is to be treated as) a parent undertaking in accordance with those provisions is a “subsidiary undertaking” in relation to the parent charity.

4

But sub-paragraph (3) does not have the result that any of the following is a “subsidiary undertaking”—

a

any special trusts of a charity,

b

any institution which, by virtue of a direction under section 1(4), is to be treated as forming part of a charity for the purposes of this Part of this Act, or

c

any charity to which a direction under section 1(5) applies for those purposes.

5

“The group”, in relation to a parent charity, means that charity and its subsidiary undertaking or undertakings, and any reference to the members of the group is to be construed accordingly.

6

For the purposes of—

a

this paragraph, and

b

the operation of the provisions mentioned in sub-paragraph (2) for the purposes of this paragraph,

“undertaking” has the meaning given by sub-paragraph (7).

7

For those purposes “undertaking” means—

a

an undertaking as defined by section 1161(1) of the Companies Act 2006 (c. 46), or

b

a charity which is not an undertaking as so defined.