Income Tax Act 2007 section 257TB

Meaning of a company being "in administration" or "in receivership"

Section 257TB defines what it means for a company to be "in administration" or "in receivership" for the purposes of the Social Investment Tax Relief rules.

• A company is "in administration" if an administrator has been appointed under UK insolvency law or an equivalent appointment exists under the law of a country outside the UK.
• A company is "in receivership" if an administrative receiver, receiver and manager, or receiver has been appointed under UK insolvency law, or an equivalent order is in force under foreign law.
• The UK definitions draw on the Insolvency Act 1986 and the Insolvency (Northern Ireland) Order 1989.
• Equivalent appointments or orders made under the laws of jurisdictions outside the United Kingdom are also covered, ensuring the definitions apply to overseas insolvency proceedings.