Corporation Tax Act 2009 section 1316

Meaning of "connected" persons and "control"

Section 1316 establishes how the terms "connected persons" and "control" are to be understood throughout the Corporation Tax Act 2009, by referring to standard definitions set out in the Corporation Tax Act 2010.

• The test for whether persons are "connected" follows the definition in section 1122 of CTA 2010, which covers relationships such as relatives, business partners, and companies under common control.
• The meaning of "control" in relation to a company follows the definition in section 1124 of CTA 2010, which looks at who holds the majority of share capital, voting power, or rights to income and assets.
• Both definitions apply as the default across the whole of the Corporation Tax Act 2009.
• Either definition can be overridden where another provision of the Act expressly or impliedly indicates a different meaning.