Corporation Tax Act 2010

906Reduction of taxable rent by cumulative rental excesses: introductionU.K.
This section has no associated Explanatory Notes

(1)This section and sections 907 to 910 provide for reductions of the taxable rent of a current lessor (“L”) under a lease to which this Chapter applies.

(2)In this section and sections 907 to 910 “taxable rent”, in relation to a period of account of L, means the amount that would, apart from those sections, be treated for corporation tax purposes as rent from the lease that arises to L in that period of account for the purpose of determining L's liability to tax for the related accounting period or periods.

(3)The reductions of taxable rent under sections 907 to 910 depend on there being—

(a)a cumulative accountancy rental excess for the period of account of L in question, or

(b)a cumulative normal rental excess for the period of account of L in question.

(4)For the meaning of “cumulative accountancy rental excess” and “cumulative normal rental excess”, see sections 907 and 909 respectively.