[F1[F2228AApplication of sections 228B and 228CU.K.
(1)Sections 228B and 228C apply where plant or machinery is the subject of a lease and finance leaseback.
(2)Plant or machinery is the subject of a lease and finance leaseback if—
(a)a person (“S”) leases the plant or machinery to another (“B”),
(b)after the date of that transaction, the use of the plant or machinery falls within sub-paragraph (i), (ii) or (iii) of section 221(1)(b), and
(c)it is directly as a consequence of having been leased under a finance lease that the plant or machinery is available to be so used after that date.
(3)For the purposes of subsection (2), S leases the plant or machinery to B only if—
(a)S grants B rights over the plant or machinery,
(b)consideration is given for that grant, and
(c)S is not required to bring all of that consideration into account under this Part.]]
Textual Amendments
F1Ss. 228A-228J and cross-heading inserted (with effect in accordance with s. 134(3) of the amending Act) by Finance Act 2004 (c. 12), s. 134
F2S. 228A substituted (with effect in accordance with Sch. 20 para. 12(12) of the amending Act) by Finance Act 2008 (c. 9), Sch. 20 para. 12(2)