Section 157 Direct participation

United Kingdom

(1)

Subsection (2) applies for the purposes of—

(a)

this Part F1(other than for the purposes of section 148A(1)(c)),

(b)

in Part 2, section 132(7), F2...

(c)

in Part 5, section 219(2) F3, F4...

(d)

in Part 6A, section 259NB(4) F5, F6... F7, and

(e)

in Part 10, section 463(4)F8...

(f)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

C1 C2 C3(2)

A person is directly participating in the management, control or capital of another person at a particular time if (and only if) that other person is at that time—

(a)

a body corporate or a firm, and

(b)

controlled by the first person.

F9(3)

See also section 162A, which provides for circumstance in which a person will be regarded as having control of another.

Annotations

Textual amendments

F1: Words in s. 157(1)(a) inserted (18.3.2026 for chargeable periods commencing on or after 1.1.2026) by Finance Act 2026 (c. 11), Sch. 6 paras. 2(2), 32(1)
F2: Word in s. 157(1)(b) omitted (15.9.2016) by virtue of Finance Act 2016 (c. 24), Sch. 10 para. 11(a)
F3: S. 157(1)(d) and word inserted (15.9.2016) by Finance Act 2016 (c. 24), Sch. 10 para. 11(b)
F4: Word in s. 157(1)(c) omitted (with effect in accordance with Sch. 5 para. 25(1)(2) of the amending Act) by virtue of Finance (No. 2) Act 2017 (c. 32), Sch. 5 para. 15(a)
F5: S. 157(1)(e) and word inserted (with effect in accordance with Sch. 5 para. 25(1)(2) of the amending Act) by Finance (No. 2) Act 2017 (c. 32), Sch. 5 para. 15(b)
F6: Word in s. 157(1)(d) omitted (with effect in accordance with Sch. 3 para. 7 of the amending Act) by virtue of Finance Act 2019 (c. 1), Sch. 3 para. 6(2)(a)
F7: Word in s. 157(1)(d) inserted (with effect in accordance with s. 20(12) of the amending Act) by Finance Act 2025 (c. 8), s. 20(7)(a)(12)
F8: S. 157(1)(f) and word omitted (with effect in accordance with s. 20(12) of the amending Act) by virtue of Finance Act 2025 (c. 8), s. 20(7)(b)(12)
F9: S. 157(3) inserted (for chargeable periods commencing on or after 1.1.2026) by Finance Act 2026 (c. 11), Sch. 6 paras. 14(2), 32(1)

Modifications

C1: S. 157(2) applied (with effect in accordance with s. 116(1) of the amending Act) by Finance Act 2015 (c. 11), s. 106(7)(a)
C2: S. 157(2) applied by 2010 c. 4, s. 356OT(7) (as inserted (with effect in accordance with s. 81 of the amending Act) by Finance Act 2016 (c. 24), s. 77(1) (and also with effect in accordance with Finance (No. 2) Act 2017 (c. 32), s. 39(1)(2)))
C3: S. 157(2) applied by 2007 c. 3, s. 517U(7) (as inserted (with effect in accordance with s. 82 of the amending Act) by Finance Act 2016 (c. 24), s. 79(1) (and also with effect in accordance with Finance (No. 2) Act 2017 (c. 32), s. 39(1)(2)))

Notes on Part 4

Modifications

C1: Pt. 4 excluded by 2010 c. 4, s. 938N (as inserted (19.7.2011) by Finance Act 2011 (c. 11), Sch. 5 para. 2)
C2: Pt. 4 excluded (1.10.2011) by Postal Services Act 2011 (c. 5), s. 93(2)(3), Sch. 2 para. 6(2); S.I. 2011/2329, art. 3
C3: Pt. 4 excluded (1.4.2012) by Budget Responsibility and National Audit Act 2011 (c. 4), s. 29, Sch. 4 para. 3(2); S.I. 2011/2576, art. 5
C4: Pt. 4 excluded (with effect in accordance with s. 148 of the amending Act) by Finance Act 2012 (c. 14), s. 129(11) (with s. 147, Sch. 17)