Section 259MA | Meaning of “transparent fund” ^F1F2

(1)In this Chapter “transparent fund” means a collective investment scheme, or an AIF (that is not a collective investment scheme), if—^F1F2

(a)were all of the profits or income of the fund to arise from sources inside the United Kingdom and^F1F2

(b)were all of its participants within the charge to income tax,^F1F2

its profits or income would be profits or income of its participants for the purposes of that tax.

(2)In this section—^F1F2

“AIF” has the meaning given by regulation 3 of the Alternative Investment Fund Managers Regulations 2013 (S.I. 2013/1773);

“collective investment scheme” has the meaning given by section 235 of the Financial Services and Markets Act 2000;

“participant”, in relation to a transparent fund, means a person who—

(a)takes part in the arrangements constituting the fund, whether by becoming the owner of, or of any part of, the property that is the subject of the arrangements or otherwise, and

(b)does not have day-to-day control over the management of the property, whether or not they have the right to be consulted or to give directions.