»Ê¹ÚÌåÓýapp

ITTOIA/S863C

»Ê¹ÚÌåÓýapp test in Condition B applies to the business as a whole.

If an individual runs part of the LLP, such as a specific branch or shop, but has no say in the business as a whole, then Condition B will be satisfied and the individual can be a Salaried Member.

Example

This distinction is illustrated by the example below.

ABC LLP carries on a financial services business with two divisions; tax and audit. Hank and Mitch run the audit division and Toni and Jo run the tax division. All four are members in the firm. »Ê¹ÚÌåÓýapp two divisions keep separate accounts.

Above the two divisions is a management board consisting of Mitch, Toni and Frank.

Whether Condition B is met depends on all the arrangements.

In this case Mitch, Toni and Frank have influence over the business as a whole. »Ê¹ÚÌåÓýappy do not satisfy Condition B.

Hank and Jo only have influence over their own divisions. »Ê¹ÚÌåÓýappy satisfy Condition B.