SCHEDULES

SCHEDULE 8Long funding leases of plant or machinery

Part 4Commencement and transitional provisions

Election for lease to be treated as long funding lease for tax purposes

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1

The Treasury may by regulations make provision enabling a person of a prescribed description who is, or is to be, the lessor under a plant or machinery lease of a prescribed description to make an election for the lease to be treated in his case as a long funding lease.

2

The power to make regulations under this paragraph includes power to make provision for or in connection with any of the following—

a

any conditions that must be met if an election is, or is to be, made;

b

whether an election is irrevocable;

c

the date on and after which an election has effect;

d

the manner in which an election is to be made.

3

The power to make regulations under this paragraph includes—

a

power to make provision having effect in relation to times before the making of the regulations (but not before 1st April 2006),

b

power to make different provision for different cases,

c

power to make incidental, consequential, supplemental, or transitional provision or savings.

4

In this paragraph—

  • “election” means an election under this paragraph;

  • “long funding lease” means a lease which is a long funding lease for the purposes of Part 2 of CAA 2001;

  • “prescribed” means specified in, or determined in accordance with, regulations under this paragraph.