Corporation Tax Act 2010 section 1059

Associated persons

Section 1059 defines who counts as an "associate" of another person in relation to a company, for the purposes of the rules on matters which are not distributions.

• Married couples and civil partners living together are automatically associates of each other, as are children under 18 and their parents.
• A person connected with a company is an associate of that company and any company it controls, and vice versa.
• Where a person is connected with one company and controls another, the controlled company is treated as an associate of the first company.
• Two persons are associates of each other in relation to a company if one habitually acts on the directions of the other in that company's affairs.