Taxes Consolidation Act 1997 section 739KA

Associated enterprises

Section 739KA sets out the circumstances in which an enterprise is regarded as associated with another enterprise, and where one enterprise is considered to have control of another, for the purposes of the Irish real estate funds (IREF) regime.

• An enterprise is treated as an associate of another where one controls the other, one is connected with the other, both are investment undertakings set up by the same person under foreign law, or one is a pension scheme and the other is a member of that scheme.
• An enterprise has control of an entity where both are included (or would be included) in the same consolidated financial statements, where the enterprise holds or can acquire at least 25% of the capital, voting power, or profit entitlement of the entity, where it has significant management influence, or where it holds convertible or profit-linked securities.
• Rights and powers of nominees, controlled enterprises, and associates can all be attributed to an enterprise when determining whether the control test is met.
• Key definitions cover terms such as "deposit", "enterprise", "entity", "member", and "significant influence in the management of" for the purposes of this section and the wider IREF provisions.