[F1105ALease premiumsU.K.
(1)For the purposes of section 105(4B)(b) an amount is attributed to the relevant period “in respect of a lease premium” if—
(a)the property consists of premises, or a part of premises, that are subject to a lease,
(b)the premises are not mainly used by P for a purpose other than the provision of living accommodation to which this Chapter applies,
(c)the lease is for a term of 10 years or less, and
(d)the net amount payable by P in relation to the lease by way of lease premium is greater than zero.
(2)The amount so attributed is—
where—
A is the relevant period (in days),
B is the term of the lease (in days), and
C is the net amount payable by P in relation to the lease by way of lease premium.
(3)For provision about the application of this section in relation to certain leases with break clauses, see section 105B.
(4)For the purposes of this section the net amount payable by P in relation to a lease by way of lease premium is—
(a)the total amount (if any) that has been paid, or is or will become payable, by P in relation to the lease by way of lease premium, less
(b)any amount within paragraph (a) that has been repaid or is or will become repayable.
(5)In this section and section 105B “lease premium” means any premium payable—
(a)under a lease, or
(b)otherwise under the terms on which a lease is granted.
(6)In the application of this section to Scotland “premium” includes a grassum.]
Textual Amendments
F1Ss. 105A, 105B inserted (with effect in accordance with s. 71(4)-(6) of the amending Act) by Finance Act 2009 (c. 10), s. 71(3)