342Introduction to sections 343 and 344U.K.
(1)Sections 343 and 344 apply to a company in respect of [F1an eligible oil field] and an accounting period if the following conditions are met.
(2)Condition A is that the company is a licensee in the field for the whole, or for part, of the accounting period.
(3)Condition B is that the company's share of the equity in the field is different at different times during the accounting period.
(4)Condition C is that the company holds an unactivated amount of field allowance for the field at any time during the accounting period.
(5)Condition D is that the company has relevant income from the field in the accounting period.
[F2(5A)But in a case where the field is an additionally-developed oil field in relation to which a qualifying project has been authorised as mentioned in section 349A(1)(a), the company is to be treated as having relevant income from the field in the accounting period if, and only if—
(a)a substantial amount of work has been done in relation to the project, and
(b)the accounting period begins on or after the first day of the year of expected first production for the field.
(5B)For the purposes of subsection (5A)—
(a)“the year of expected first production” for the field is the year that was notified to the national authority, on or before the day on which the project was authorised, as the calendar year in which additional reserves of oil were expected to be first won from the field as a result of the project, and
(b)“qualifying project” means a project meeting the conditions in subsection (1)(aa) and (b) of section 349A.]
(6)In a case where a company has three or more different shares of the equity in [F3an eligible oil field] during a particular day, sections 343 and 344 (in particular provisions relating to the beginning or end of a day) have effect subject to the necessary modifications.
Textual Amendments
F1Words in s. 342(1) substituted (1.4.2013) by Finance Act 2012 (c. 14), Sch. 22 paras. 8, 21(2); S.I. 2013/744, art. 2
F2S. 342(5A)(5B) inserted (retrospective to 1.4.2013) by The Additionally-developed Oil Fields Order 2013 (S.I. 2013/2910), arts. 1(1), 7
F3Words in s. 342(6) substituted (1.4.2013) by Finance Act 2012 (c. 14), Sch. 22 paras. 8, 21(2); S.I. 2013/744, art. 2