BIM24245 - Mutual trading: members' clubs: incorporated as industrial & provident societies

Limitation on individual shareholdings

If a social or recreational club is incorporated under the Industrial and Provident Societies' Acts, the members of the club are required to be the club's shareholders. No member is allowed to hold a large amount of share capital. A club incorporated under these Acts (for example, a workingmen's club) is regarded as a members’ club for tax purposes.