Oil Taxation Act 1983

6 (1) This paragraph applies in a case where—

(a) the existing asset is not a mobile asset but the existing expenditure was not or would not, apart from this paragraph, be allowable under section 4 of the principal Act by reason only that the use of the existing asset was not in connection with the oil field referred to in section 13(1) of this Act; and

(b) the use of the existing asset has given, or was at the end of the transitional claim period expected to give, rise to receipts which, assuming the existing asset to be a qualifying asset, would be tariff receipts; and

(c) that use of the existing asset was or was so expected to be in association with another asset used, or expected to be used, in connection with the oil field referred to in section 13(1) of this Act.

(2) Where this paragraph applies.—

(a) the use referred to in sub-paragraph (1)(b) above shall be treated for the purposes of section 4 of the principal Act as use in connection with the field referred to in section 13(1) of this Act; and

(b) a claim for an allowance under section 4 of the principal Act in respect of the existing expenditure may be made in a claim for the transitional claim period, whether or not that is the first relevant claim period, within the meaning of that section.

(3) For the purposes of paragraph (c) of sub-paragraph (1) above, an asset shall not be regarded as used in association with another asset which is, or is expected to be, used in connection with the oil field mentioned in that paragraph unless it is used in a way which constitutes use in connection with another oil field or would constitute such use but for section 10(2) of the principal Act (exempt gas).