Part 4Agricultural buildings allowances

Chapter 5Balancing adjustments


383Proceeds from balancing events

(1)References in this Part to the proceeds from a balancing event are to the amounts received or receivable in connection with the event, as shown in the Table—

Balancing events and proceeds
1. Balancing event2. Proceeds from event
1. The sale of the relevant interest.The net proceeds of the sale.
2. The acquisition of the relevant interest under section 368(3) (ending of lease where incoming lessee makes payment to outgoing lessee).The net amount of the payment to the outgoing lessee.
3. The demolition or destruction of the agricultural building.

The net amount received for the remains of the building, together with—


any insurance money received in respect of the demolition or destruction, and


any other compensation of any description so received, so far as it consists of capital sums.

4. The agricultural building ceases altogether to be used.Any compensation of any description received in respect of the event, so far as it consists of capital sums.

(2)The amounts referred to in column 2 of the Table are those received or receivable by the person whose entitlement to a balancing allowance or liability to a balancing charge is in question.