Article 3

in paragraph (1), by inserting after the definition of “offshore installation” the following definitions—

• ““ordinary share capital” has the same meaning as in section 832(1) of the Income and Corporation Taxes Act 1988^f1;

• “parent undertaking” shall be construed in accordance with section 258 of the Companies Act 1985^f2;” and

by substituting for paragraph (2)(c) the following—

“(c)

one body corporate shall be treated as connected to another if—

(i)

50 per cent. or more of the ordinary share capital of one of them is owned directly or indirectly by the other; or

(ii)

50 per cent. or more of the ordinary share capital of both of them is owned directly or indirectly by a third body corporate,

and for the purpose of determining whether 50 per cent. or more of the ordinary share capital of a body corporate is owned directly or indirectly by another body corporate the provisions of subsections 2 to 10 of section 838 of the Income and Corporation Taxes Act 1988 shall apply in relation to this sub-paragraph as they apply in relation to section 838(1) of that Act; and”.