Finance Act 2012

35 (1) Section 1129 (connected persons) is amended as follows. U.K.

(2) In subsection (1), for paragraphs (b) and (c) substitute—

“(b) the company, the staff provider and (if different) the staff controller (or staff controllers) are all connected, and

(c) in accordance with generally accepted accounting practice—

(i) the whole of the staff provision payment has been brought into account in determining the staff provider's profit or loss for a relevant period, and

(ii) all of the relevant expenditure of each staff controller has been brought into account in determining the staff controller's profit or loss for a relevant period.”

(3) In subsection (2)(b), for “the staff provider's relevant expenditure” substitute “ the aggregate of the relevant expenditure of each staff controller ”.

(4) In subsection (3)—

(a) for “of the staff provider” substitute “ , in relation to a staff controller, ”, and

(b) in paragraph (a), for “staff provider” substitute “ staff controller ”.

(5) In subsection (4)—

(a) after “ “Relevant period”” insert “ , in relation to a person, ”, and

(b) in paragraph (a), for “staff provider” substitute “ person ”.

(6) In subsection (5)—

(a) for “the staff provider's expenditure” substitute “ the expenditure of a staff controller ”, and

(b) for “the staff provider” substitute “ a staff controller ”.

(7) In subsection (7), for “staff provider” substitute “ a staff controller ”.