Finance Act 2006

Yn ddilys o 19/07/2006

Election for lease to be treated as long funding lease for tax purposes U.K.

16 (1) The Treasury may by regulations make provision enabling a person of a prescribed description who is, or is to be, the lessor under a plant or machinery lease of a prescribed description to make an election for the lease to be treated in his case as a long funding lease. U.K.

(2) The power to make regulations under this paragraph includes power to make provision for or in connection with any of the following—

(a) any conditions that must be met if an election is, or is to be, made;

(b) whether an election is irrevocable;

(c) the date on and after which an election has effect;

(d) the manner in which an election is to be made.

(3) The power to make regulations under this paragraph includes—

(a) power to make provision having effect in relation to times before the making of the regulations (but not before 1st April 2006),

(b) power to make different provision for different cases,

(c) power to make incidental, consequential, supplemental, or transitional provision or savings.

(4) In this paragraph—

• “election” means an election under this paragraph;

• “long funding lease” means a lease which is a long funding lease for the purposes of Part 2 of CAA 2001;

• “prescribed” means specified in, or determined in accordance with, regulations under this paragraph.