Application of section 20 to qualifying long term agreements
4.—(1) Section 20 shall apply to a qualifying long term agreement if relevant costs(1) incurred under the agreement in any accounting period exceed an amount which results in the relevant contribution of any tenant, in respect of that period, being more than £100.
(2) In paragraph (1), “accounting period” means the period—
(a)beginning with the relevant date, and
(b)ending with the date that falls twelve months after the relevant date.
(3) In the case of the first accounting period, the relevant date is—
(a)if the relevant accounts are made up for periods of twelve months, the date on which the period that includes the date on which these Regulations come into force ends, or
(b)if the accounts are not so made up, the date on which these Regulations come into force.
(4) In the case of subsequent accounting periods, the relevant date is the date immediately following the end of the previous accounting period.
See section 18(2) of the Landlord and Tenant Act 1985.