SCHEDULES

SCHEDULE 1Employment allowance: rules for determining if persons are “connected”

C1C3C2PART 1Companies

Annotations:

Connection through a trustee

6

1

Sub-paragraph (2) applies if—

a

two companies (“A” and “B”) are under the control of the same person by virtue of rights or powers (or both) held in trust by that person, and

b

there is no other connection between A and B.

2

In determining under paragraph 2(1) if A and B are connected with one another, the rights and powers mentioned in sub-paragraph (1)(a) are ignored.

3

In sub-paragraph (1)—

a

control” has the same meaning as in paragraph 2(1), and

b

connection” includes a connection in the past as well as a connection in the present and the reference to a connection between A and B includes any dealings between them.