100 Exclusion of deferments from production expenditureU.K.
(1)Section 48 of the Finance (No. 2) Act 1997 (c. 58) (relief for expenditure on production or acquisition of qualifying film with total production expenditure of £15 million or less) is amended as follows.
(2)In subsection (6) (meaning of “total production expenditure”), for “subject to subsection (7)” substitute “ subject to subsections (6A) and (7) ”.
(3)After that subsection insert—
“(6A)For the purposes of this section the production expenditure on a film shall be taken not to include any amount that at the time the film is completed—
(a)has not been paid, and
(b)is not the subject of an unconditional obligation to pay within four months after the date of completion.”.
(4)This section applies to films completed on or after 17th April 2002.
For this purpose a film is completed at the time when it is first in a form in which it can reasonably be regarded as ready for copies of it to be made and distributed for presentation to the general public.