Part 10Close companies

Chapter 2Basic definitions

Meaning of other expressions in this Part

452“Director”

(1)

In this Part, “director”, in relation to a company, includes—

(a)

a person occupying the position of director of the company, by whatever name called,

(b)

a person in accordance with whose directions or instructions the directors of the company are accustomed to act, and

(c)

a person within subsection (2).

(2)

A person (P) is within this subsection if P—

(a)

is a manager of the company or otherwise concerned in the management of the company’s trade or business, and

(b)

is—

(i)

the beneficial owner of, or

(ii)

directly or indirectly able to control,

at least 20% of the ordinary share capital of the company.

(3)

For the purposes of subsection (2)(b), P is treated as owning or controlling (as the case may be) what any associate of P owns or controls.