Corporation Tax Act 2009 section 488

Meaning of "open-ended investment company" etc

Section 488 defines the key terms "open-ended investment company", "company", and "umbrella company" for the purposes of the chapter dealing with loan relationships of open-ended investment companies.

• An open-ended investment company (OEIC) is defined by reference to the Corporation Tax Act 2010, which describes it as a collective investment vehicle whose share capital can expand or contract as investors buy or redeem shares
• The meaning of "company" for this chapter also follows the CTA 2010 definition, which may differ from the general corporation tax meaning
• An umbrella company is an OEIC structured with separate sub-funds, and each sub-fund can be treated as if it were a separate company for tax purposes
• These definitions ensure consistency between the loan relationships rules in CTA 2009 and the authorised investment fund rules in CTA 2010