72Groups of commonly controlled businesses

72 Groups of commonly controlled businesses (1) If a person or set of people has a controlling interest in each of 2 businesses, the people who carry on the businesses make up a (2) For this section, a person or set of people has a controlling interest in a business if— (a) for 1 person—the person is the sole owner (whether or not as trustee) of the business; or (b) for a set of people—the people are together as trustees the sole owners of the business; or

(c) for a business carried on by a corporation— (i) the person or each of the set of people is a director of the corporation and the person or set of people is entitled to exercise more than 50% of the voting power at meetings of the directors of the corporation; or (ii) a director or set of directors of the corporation that is entitled to exercise more than 50% of the voting power at meetings of the directors of the corporation is under an obligation, whether formal or informal, to act in accordance with the direction, instructions or wishes of the person or set of people; or (d) for a business carried on by a body corporate or unincorporated body—the person or set of people make up more than 50% of the board of management (however described) of the body or control the composition of the board; or (e) for a business carried on by a corporation that has a share capital—the person or set of people can, directly or indirectly, exercise, control the exercise of, or substantially influence the exercise of, more than 50% of the voting power attached to the voting shares, or any class of voting shares, issued by the corporation; or (f) for a business carried on by a partnership—the person or set of people— (i) own (whether beneficially or not) more than 50% of the capital of the partnership; or (ii) is entitled (whether beneficially or not) to more than 50% of the profits of the partnership; or (g) for a business carried on under a trust (the first trust)—the person or set of people (whether or not as a trustee of, or beneficiary under, another trust) is the beneficiary in relation to more than 50% of the value of the interests in the first trust.

(3) If— (a) 2 corporations are related bodies corporate; and (b) 1 of the corporations has a controlling interest in a business; the other corporation has a controlling interest in the business. (4) If— (a) a person or set of people has a controlling interest in a business; and (b) a person or set of people who carry on the business has a controlling interest in another business; the person or set of people mentioned in paragraph (a) has a controlling interest in the other business. (5) If— (a) a person or set of people is the beneficiary of a trust in relation to more than 50% of the value of the interests in the trust; and trustee or trustees) has a controlling interest in the business of another trust; the person or set of people has a controlling interest in the business. (6) A person who may benefit from a discretionary trust because the trustee or someone else, or the trustee and someone else, exercises or fails to exercise a power or discretion, is taken, for this part, to be a beneficiary in relation to more than 50% of the value of the interests in the trust.