139The control and independence requirement
(1)The control element of the requirement is that—
(a)the company must not control (whether on its own or together with any person connected with it) any company which is not a qualifying subsidiary of the company, and
(b)no arrangements must be in existence by virtue of which the company could fail to meet paragraph (a) (whether at a time during the continuous period that is relevant for the purposes of section 134(3) or otherwise).
(2)The independence element of the requirement is that—
(a)the company must not—
(i)be a 51% subsidiary of another company, or
(ii)be under the control of another company (or of another company and any other person connected with that other company), without being a 51% subsidiary of that other company, and
(b)no arrangements must be in existence by virtue of which the company could fail to meet paragraph (a) (whether at a time during the continuous period that is relevant for the purposes of section 134(3) or otherwise).
(3)This section is subject to section 145(3).
(4)In this section—
“arrangements” includes any scheme, agreement or understanding, whether or not legally enforceable,
“control”, in subsection (1)(a), is to be read in accordance with section 416(2) to (6) of ICTA,
“qualifying subsidiary” is to be read in accordance with section 191.