S. 76(2A)(2B) inserted (for any chargeable period or its basis period ending on or after 06.04.1990) by Finance Act 1991 (c. 31), s. 59, Sch. 14 Pt. II para. 11(4).
Words in s. 76(4) substituted (for any chargeable period or its basis period ending on or after 06.04.1990) by Finance Act 1991 (c. 31), s. 59, Sch. 14 Pt. II para. 11(5).
Pt. II (ss. 22–83) modified by Finance Act 1990 (c. 29), s. 87(3)(4)
Pt. II modified (19.9.1994) by Coal Industry Act 1994 (c. 21), s. 68(4), Sch. 4 para. 22; S.I. 1994/2189, art. 2, Sch.
Pt. 2 modified (8.11.1995) by Atomic Energy Authority Act 1995 (c. 37), Sch. 3 para. 16
Pt. 2 modified (8.11.1995) by Atomic Energy Authority Act 1995 (c. 37), Sch. 3 para. 20
Pt. 2 modified (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 14(1) (with Sch. 7 para. 14(2))
Pt. 2 modified (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 15(2)
Pt. 2 modified (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 15(3)
Pt. 2 restricted (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 16
Pt. 2 modified (with application in accordance with Sch. 12 para. 11(1) of the amending Act) by Finance Act 1997 (c. 16), Sch. 12 para. 11(3)(b) (with Sch. 12 paras. 13, 14)
S. 76(7) inserted (with effect in accordance with s. 46(3) of the amending Act) by Finance (No. 2) Act 1997 (c. 58), s. 46(1)(b) (with
S. 76(3) repealed (with effect in accordance with s. 85(9) of the amending Act) by Finance Act 1998 (c. 36), s. 85(8)(a), Sch. 27 Pt. 3(18)
Words in s. 76(4) substituted (with effect in accordance with s. 85(9) of the amending Act) by Finance Act 1998 (c. 36), s. 85(8)(b)
Paragraph (b) of each of subsections (1) to (3) of section 75 shall have effect as if the reference to the machinery or plant continuing to be used for the purposes of a trade carried on by the person there mentioned included a reference to its being used after the date of the sale, the making of the contract or the assignment of the benefit of the contract (as the case may be) for the purposes of a trade carried on by that person or another person who is connected with him (other than the buyer, the person entering into the contract or the assignee) without having been used since that date for the purposes of any other trade except that of leasing machinery or plant.
In a case in which no disposal value falls to be brought into account as mentioned in subsection (1) of section 75, that subsection shall have effect as if for the reference to the disposal value to be so brought into account there were substituted a reference to an amount equal to whichever of the following is the smallest—
the open market value of the machinery or plant;
where capital expenditure was incurred by the seller on the provision of the machinery or plant, the amount of that expenditure;
where capital expenditure was incurred by any person connected with the seller on the provision of the machinery or plant, the amount of the expenditure incurred by that person.
In any case where—
section 75(1) has effect with the modification specified in paragraph (a) of subsection (2) above, but
the open market value of the machinery or plant in question is determined for the purposes of those provisions inclusive of value added tax,
section 75(1) as so modified shall have effect with the omission of the words “the aggregate of" and “and any such additional VAT liability".
For the purposes of paragraphs (b) and (c) of subsection (2) above—
any additional VAT liability incurred by the seller or, as the case may be, any person connected with him in respect of capital expenditure incurred on the provision of the machinery or plant shall be regarded as capital expenditure incurred on the provision of the machinery or plant, and
any additional VAT rebate made to the seller or, as the case may be, any person connected with him in respect of any such expenditure shall be regarded as reducing the amount of capital expenditure so incurred by him,
to the extent that the liability or rebate in question would not, apart from this subsection, fall to be so regarded.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
to the sale as references to the making of the contract and to the assignment of the benefit of the contract respectively;
to the seller as references to the person to whom the machinery or plant belongs and to the assignor respectively.
Neither subsection (1) nor subsection (2) of section 75 shall apply in relation to a sale or contract if the machinery or plant has never been used before the sale or the making of the contract and the business or part of the business of the seller or owner was the manufacture or supply of machinery or plant of that class and the sale was effected or the contract was made in the ordinary course of that business.
In this section—
“
references to persons connected with each other shall be construed in accordance with section 839 of the principal Act.
This section has effect subject to the modifications made by section 76A in cases where there is a finance lease.