Taxation of Chargeable Gains Act 1992 Schedule C1 paragraphs 7–8

Meaning of "control"

Paragraphs 7 and 8 of Schedule C1 define what "control" means for the purposes of the provisions in this Schedule, establishing when a person is regarded as controlling a company.

• A person has "control" of a company if they can exercise, or are entitled to acquire, the greater part of the voting power, share capital, income rights, or asset rights in that company.
• The definition covers both direct power and the right to acquire such power, ensuring that indirect or contingent control is also captured.
• Rights and powers held by connected persons or associates may be attributed to the person in question when determining whether the control test is met.
• These provisions were introduced by Finance Act 2019, Schedule 1, paragraph 12, and align the concept of control used in the chargeable gains rules with established definitions used elsewhere in tax legislation.

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