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Part 5 Mineral extraction allowances

Chapter 6 Allowances and charges

Disposal values

421 Disposal of, or ceasing to use, asset

1

This section applies if—

a

a person has incurred qualifying expenditure on providing assets (including the construction of works), and

b

any of those assets—

i

is disposed of, or

ii

permanently ceases to be used by him for the purposes of a mineral extraction trade (whether because of the discontinuance of the trade or for any other reason).

2

The person is required to bring the disposal value of the asset into account for the chargeable period in which the disposal or cessation occurs.