4(1)An interest of a person (“T”) only constitutes a relevant interest in a company, or in an enhanced class of that company, if as a result of that interest T is—
(a)beneficially entitled to profits or assets directly,
(b)beneficially entitled to profits or assets—
(i)partly directly or through a company (“C”), other than a QAHC, that is beneficially entitled to those profits or assets directly and is connected to T, and
(ii)partly through another person that is not a QAHC or through other persons that are not QAHCs, or
(c)beneficially entitled to profits or assets solely through one or more QAHCs.
(2)But where T has an interest falling within sub-paragraph (1)(b) partly as a result of an entitlement through C, in determining the amount of that interest for the purposes of paragraph 3(2) or (3), ignore any amount attributable to the entitlement through C.
(3)For the purposes of sub-paragraph (1)(b)(ii), where—
(a)T is connected to a person (“U”), other than C, who is not a category A investor,
(b)U has an indirect beneficial entitlement to profits or assets of the company through another person that is not a QAHC, or through other persons that are not QAHCs, and
(c)that entitlement would not otherwise be included in the determination of relevant interests in the company, or in an enhanced class of the company for the purposes of paragraph 3(2) or (3),
that entitlement is to be treated as an entitlement of T.
(4)In this paragraph, “connected”, in relation to two persons being connected with one another, is to be read in accordance with sections 1122 and 1123 of CTA 2010, but for the purposes of this paragraph section 1122(7) has effect as if any reference to a partnership did not include a partnership that is a qualifying fund.