Corporation Tax Act 2009

1173 Expenditure incurred because of contamination

(1) This section applies to identify cases in which the condition in section 1144(3) is to be treated as met (expenditure incurred because land in contaminated state).

(2) If the only reason that expenditure on the land is increased is that the land is in a contaminated state, the amount by which the expenditure is increased is to be treated as expenditure meeting the condition in section 1144(3).

(3) Subsection (4) applies if the main purpose of any works done, operations carried out or steps taken is—

(a) to prevent or minimise, or remedy or mitigate the effects of, any harm, or any pollution of controlled waters, by virtue of which the land is in a contaminated state, or

(b) to restore the land or waters to their former state.

(4) Expenditure on such works, operations or steps is to be treated as meeting the condition in section 1144(3).

(5) This section does not affect the width of the provision made by section 1144(3).