Modifications etc. (not altering text)
C1 See—1979(C) s.122—election to take capital gain or loss into account when asset appropriated to stock in trade.1989 ss.67-74—employee share ownership trusts.Banking Act 1987 (c.22) s.66—contributions to the Deposit Protection Fund.
(1)M1A payment to which this section applies which is made to a person carrying on a trade the profits of which are chargeable under Case I of Schedule D shall be taken into account as a receipt in computing those profits; and any such payment which is made to [F1a company with investment business] shall be taken into account as a receipt in computing its profits under Case VI of Schedule D.
(2)M2This section applies to any payment which would not, apart from this section, be taken into account as mentioned in subsection (1) above, being a payment by way of a grant under—
(a)section 7 or 8 of the Industrial Development Act 1982 or section 7 or 8 of the M3Industry Act 1972; or
(b)section 1 of the M4Industries Development Act (Northern Ireland) 1966 or section 4 of the M5Industries Development Act (Northern Ireland) 1971; or
(c)M6any of Articles 7, 9 and 30 of the M7Industrial Development (Northern Ireland) Order 1982;
other than a grant designated as made towards the cost of specified capital expenditure or as made by way of compensation for the loss of capital assets and other than a grant falling within subsection (3) below.
(3)M8A payment by way of grant which is made—
(a)under Article 7 of the Order referred to in subsection (2)(c) above, and
(b)in respect of a liability for corporation tax (including a liability which has already been met),
shall not be taken into account as mentioned in subsection (1) above, whether by virtue of this section or otherwise.
Textual Amendments
F1Words in s. 93(1) substituted (28.9.2004 with effect in accordance with art. 1(2) of the amending S.I.) by The Finance Act 2004, Sections 38 to 40 and 45 and Schedule 6 (Consequential Amendment of Enactments) Order 2004 (S.I. 2004/2310), art. 1(2), Sch. para 11(2)
Marginal Citations
M1SOURCE-1980 s. 42(1)
M2SOURCE-1980 s. 42(2)
M6SOURCE-1980 s. 42(2); 1984 s. 55(1)
M8SOURCE-1980 s. 42(3); 1984 s. 55(2)