Income Tax (Earnings and Pensions) Act 2003 section 61I

Meaning of "associate"

Section 61I defines who counts as an "associate" for the purposes of the managed service company rules in Chapter 9, covering individuals, companies, and partnerships.

• For an individual, an associate includes family or household members, relatives (ancestors, lineal descendants, brothers or sisters), partners, and trustees of settlements where the individual or a connected person is or was a settlor
• For a company, an associate is any person connected with that company; for a partnership, an associate is any associate of any member of the partnership
• Where a managed service company is itself a partnership, a person who would only qualify as an associate of another person because they are both members of that partnership is not treated as an associate for these rules
• Two people living together as if they were a married couple or civil partners are treated as though they were legally married or in a civil partnership for the purpose of determining associate status