17.Paragraph 9 makes amendments to section 785C of ICTA which ensure that where an initial payment is brought in as a disposal value it is not also taxed as income under section 785B of ICTA.
18.Sub-paragraph (4) inserts new subsections (9A) and (9B) into section 785C of ICTA. New subsection (9A) says that a capital payment is not relevant to the extent that it is an initial payment under a long funding lease and a disposal receipt under section 61 of CAA falls to be brought into account by the lessor on the granting of the lease.
19.Paragraph 10 makes amendments to section 809ZB of ITA that, for income tax, mirror those made by paragraph 9 for corporation tax.
20.Sub-paragraph (2) provides that in relation to payments made under leases whose inception is before 22 April 2009 and for which a disposal receipt under section 61 of CAA falls to be brought into account no relevant payment arises under section 785C(9A) of ICTA and section 809ZB(9A) of ITA.