Magnetically controlled reactor (MCR) can compensate the capacitive reactive power generated by transmission line and enhance the stability of power supply, which is widely used in ultrahigh-voltage (UHV) power systems. In this paper, a novel structure for MCR with multi-taps is proposed. The MCR with multi-taps can switch its taps based on operation condition. The higher tap ratio is used to adjust the reactive power, and the
lower tap ratio is fit for the stable grid. A switching algorithm is designed to make it work harmoniously and flexibly. For the adjustment of reactive power, this novel structure can perform better in regulated time without
using higher tap ratios in practical operation, compared with the traditional structures.