Income Tax Act 2007 section 331

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

Section 331 defines what it means for a company to be "in administration" or "in receivership" for the purposes of the Enterprise Investment Scheme and related provisions.

• A company is "in administration" if it is subject to administration under the Insolvency Act 1986 or the equivalent Northern Ireland legislation, or under a corresponding appointment in a jurisdiction outside the United Kingdom.
• A company is "in receivership" if an administrative receiver, receiver and manager, or receiver has been appointed under the Insolvency Act 1986 or the equivalent Northern Ireland legislation, or under a corresponding order in a jurisdiction outside the United Kingdom.
• The definitions cover both domestic UK insolvency procedures and equivalent procedures under the laws of countries or territories outside the United Kingdom.
• These definitions are relevant when determining whether a company qualifies for tax reliefs that depend on its insolvency status.