C2C1F1 Part 4A FLAT CONVERSION ALLOWANCES
Pt. 4A modified (24.2.2003) by Proceeds of Crime Act 2002 (c. 29), s. 458(1), Sch. 10 para. 22 (with Sch. 10 para. 25); S.I. 2003/120, art. 2, Sch. (with arts. 34) (as amended (20.2.2003) by S.I. 2003/333, art. 14)
Pt. 4A (ss. 393A-393W) modified (prosp.) by Proceeds of Crime Act 2002 (c. 29) , ss. 448 , 458(1) , Sch. 10 para. 22 , 25
Chapter 3 QUALIFYING BUILDINGS AND QUALIFYING FLATS
393E High value flats
1
For the purposes of section 393D(1) a flat is a high value flat if the notional rent exceeds the relevant limit set out in the Table in subsection (5).
2
The “ notional rent ” means the rent that could reasonably be expected for the flat on the relevant date, on the assumption that, on that date—
a
the conversion or renovation has been completed,
b
the flat is let furnished,
c
the lease does not require the tenant to pay a premium or make any other payments to the landlord or a person connected with the landlord,
d
the tenant is not connected with the person incurring the expenditure on the conversion or renovation of the flat, and
e
in the case of a flat in England or Wales or Scotland, the flat is let on a shorthold tenancy.
3
The “ relevant date ” means the date on which expenditure on—
a
the conversion of part of the building into the flat, or
b
(as the case may be) the renovation of the flat,
is first incurred.
4
“ Shorthold tenancy ” means—
a
in the case of a flat in England or Wales, an assured shorthold tenancy;
b
in the case of a flat in Scotland, a short assured tenancy.
5
The limit for the notional rent is as shown in the Table—
TABLE: NOTIONAL RENT LIMITS
Number of rooms in flat | Flats in Greater London | Flats elsewhere |
|---|---|---|
1 or 2 rooms | £350 per week | £150 per week |
3 rooms | £425 per week | £225 per week |
4 rooms | £480 per week | £300 per week |
6
Treasury regulations may make provision amending the notional rent limits in the Table in subsection (5).
7
Section 393D(3) (determination of number of rooms in flat) applies for the purposes of this section.
Pt. 4A (ss. 393A-393W) inserted (with effect as mentioned in s. 67 of the amending Act) by Finance Act 2001 (c. 9), s. 67, Sch. 19 Pt. 1