CTM61730 - Close companies: loans to participators: two or more close companies
CTA10/S460(4)
Two or more close companies may together control a company making a loan within CTA10/S460 (1) or CTA10/S460 (3) (CTM61700 or CTM61710). In that case each close company is to be treated for the purpose of CTA10/S460 as:
- controlling the lending company
- making a loan of the appropriate proportion of the loan made by that company
When deciding what is 鈥榓ppropriate鈥�, you should consider the nature and amount of the close companies鈥� respective interests in the lending company.