Taxes Management Act 1970 section 109F

Interpretation of sections 109B to 109E

Section 109F defines the key terms used in sections 109B to 109E, which deal with securing payment of outstanding tax from companies and making other persons liable for unpaid tax.

• The meaning of "tax payable by a company" is broadly defined to include not just corporation tax but also PAYE, construction industry scheme deductions, tax collected from deposit-takers and building societies, tax on payments to entertainers and sportsmen, and amounts under the territorial extension of the charge to tax
• References to tax payable by a company also include any interest on that tax, whether the interest relates to periods before or after the relevant time
• The term "director" takes its meaning from the employment income tax rules and the close companies legislation, which include not only formally appointed directors but also persons acting as directors or on whose directions the company is accustomed to act
• "Control" of a company is defined by reference to the close companies rules, which look at whether a person holds the greater part of the share capital, voting power, or rights to income or assets on a winding up