Finance Act 2014 (c. 26)

SCHEDULES

[F1 SCHEDULE 34A U.K. Promoters of tax avoidance schemes: defeated arrangements

Textual Amendments

F1 Sch. 34A inserted (15.9.2016) by Finance Act 2016 (c. 24), s. 160(5)

PART 4 U.K. Meeting section 237A conditions: bodies corporate and partnerships

[F2 Relevant bodies controlled etc by other persons treated as meeting section 237A condition U.K.

Textual Amendments

F2 Sch. 34A paras. 20-22 and cross-headings substituted (with effect in accordance with s. 24(6) of the amending Act) by Finance Act 2017 (c. 10), s. 24(3)

20 (1) A relevant body is treated as meeting a section 237A condition at the section 237A(2) relevant time if any of Conditions A to C is met. U.K.

(2) Condition A is that—

(a) a person met the section 237A condition at a time when the person was a promoter, and

(b) the person controls or has significant influence over the relevant body at the section 237A(2) relevant time.

(3) Condition B is that—

(a) a person met the section 237A condition at a time when the person controlled or had significant influence over the relevant body,

(b) the relevant body was a promoter at that time, and

(c) the person controls or has significant influence over the relevant body at the section 237A(2) relevant time.

(4) Condition C is that—

(a) two or more persons together controlled or had significant influence over the relevant body at a time when one of those persons met the section 237A condition,

(b) the relevant body was a promoter at that time, and

(c) those persons together control or have significant influence over the relevant body at the section 237A(2) relevant time.

(5) Sub-paragraph (1) does not apply where the person referred to in sub-paragraph (2)(a), (3)(a), or (4)(a) as meeting a section 237A condition is an individual.

(6) For the purposes of sub-paragraph (2) it does not matter whether the relevant body existed at the time referred to in sub-paragraph (2)(a).

Persons who control etc a relevant body treated as meeting a section 237A condition U.K.

21 (1) If at a time when a person controlled or had significant influence over a relevant body— U.K.

(a) the relevant body met a section 237A condition, and

(b) the relevant body, or another relevant body which the person controlled or had significant influence over, was a promoter,

the person is treated as meeting the section 237A condition at the section 237A(2) relevant time.

(2) It does not matter whether any relevant body referred to sub-paragraph (1) exists at the section 237A(2) relevant time.

Relevant bodies controlled etc by the same person treated as meeting a section 237A condition U.K.

22 (1) If— U.K.

(a) a person controlled or had significant influence over a relevant body at a time when it met a section 237A condition, and

(b) at that time that body, or another relevant body which the person controlled or had significant influence over, was a promoter,

any relevant body which the person controls or has significant influence over at the section 237A(2) relevant time is treated as meeting the section 237A condition at the section 237A(2) relevant time.

(2) If—

(a) two or more persons together controlled or had significant influence over a relevant body at a time when it met a section 237A condition, and

(b) at that time that body, or another relevant body which those persons together controlled or had significant influence over, was a promoter,

any relevant body which those persons together control or have significant influence over at the section 237A(2) relevant time is treated as meeting the section 237A condition at the section 237A(2) relevant time.

(3) It does not matter whether—

(a) a relevant body referred to in sub-paragraph (1)(a) or (b) or (2)(a) or (b) exists at the section 237A(2) relevant time, or

(b) a relevant body existing at the section 237A(2) relevant time existed at the time referred to in sub-paragraph (1)(a) or (2)(a).]

Interpretation U.K.

23 (1) In this Part of this Schedule— U.K.

• [F3 “control” and “significant influence” have the same meanings as in Part 4 of Schedule 34 (see paragraph 13A(5) to (11));

  references to a person being a promoter are to the person carrying on business as a promoter;]

• “relevant body” has the same meaning as in Part 3 of this Schedule;

• “section 237A(2) relevant time” means the time referred to in section 237A(2);

• “section 237A condition” means any of the conditions in section 237A(11), (12) and (13).

(2) For the purposes of paragraphs [F4 20 to 22], the condition in section 237A(11) (occurrence of 3 relevant defeats in the 3 years ending with the relevant time) is taken to have been met by a person at any time if at least 3 relevant defeats have occurred in relation to the person in the period of 3 years ending with that time.]

Textual Amendments

F3 Words in Sch. 34A para. 23(1) substituted (with effect in accordance with s. 24(6) of the amending Act) by Finance Act 2017 (c. 10), s. 24(4)(a)

F4 Words in Sch. 34A para. 23(2) substituted (with effect in accordance with s. 24(6) of the amending Act) by Finance Act 2017 (c. 10), s. 24(4)(b)