# The Controlled Foreign Companies (Excluded Countries) Regulations 1998, Regulation 2: Interpretation


(1) In these Regulations unless the context otherwise requires–
“controlled foreign company” shall be construed in accordance with section 747(2) of the Taxes Act;
“gains” in relation to a controlled foreign company means any gains of that company other than a gain accruing to the company on a disposal of an asset which, on the assumption that the company was within the charge to corporation tax, would have fallen to be treated as a chargeable gain and would not have been taken into account as a receipt in computing the company’s income or profits or gains or losses for the purposes of the Income Tax Acts;
“insurance company” means a company carrying on “long-term business” or “general business” within the meaning of section 1 of the Insurance Companies Act 1982;
“Schedule 1” and “Schedule 2” mean Schedule 1 and Schedule 2 respectively to these Regulations;
“section 748(1)(e)” means section 748(1)(e) of the Taxes Act;
“the Taxes Act” means the Income and Corporation Taxes Act 1988.
(2) For the purposes of these Regulations a company is resident in a territory if–
(a) by reason of the law of that territory relating to domicile, residence or place of management, the company is liable to tax in that territory, or
(b) if there is either no such law or such law does not apply to the company, the company is incorporated in that territory;
and references in these Regulations to the territory of residence of a company shall be construed accordingly.
(3) For the purposes of these Regulations a controlled foreign company is resident in a territory, within the meaning of paragraph (2), in an accounting period only if it is so resident throughout that accounting period.
(4) References in these Regulations to a branch or agency of a controlled foreign company are references to a branch or agency situated in a territory other than the territory of residence of the controlled foreign company.

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Source: https://www.legislation.gov.uk/uksi/1998/3081/regulation/2 (the official version)
Page: https://openlegislation.uk/controlled-foreign-companies-excluded-countries-regulations-1998/regulation-2
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.