SCHEDULES

SCHEDULE 1Consequential amendments

Part 2Other enactments

Finance (No. 2) Act 1992 (c. 48)

452

The Finance (No. 2) Act 1992 is amended as follows.

453

1

Amend section 40A (revenue nature of expenditure on master versions of films) as follows.

2

In subsection (1)—

a

for “the purposes of the Tax Acts” substitute “ corporation tax purposes ”, and

b

after “section 40D below” insert “ or section 143 of ITTOIA 2005 (corresponding income tax provision) ”.

3

In subsection (2) for “the purposes of the Tax Acts” substitute “ corporation tax purposes ”.

4

In the definition of “expenditure of a revenue nature” in subsection (4)(a) after “chargeable to” insert “ corporation ”.

454

1

Amend section 40B (allocation of expenditure to periods) as follows.

2

In subsection (1) for “person” substitute “ company within the charge to corporation tax ”.

3

In subsection (2) after “section 40D below” insert “ or section 143 of ITTOIA 2005 ”.

4

In subsection (3)(b) for “up for a period—” to the end substitute “ up for a period, the accounting period of the company. ”

5

In subsection (6) for “made—” to the end substitute “ made not later than two years after the end of the relevant period to which the claim relates. ”

6

In subsection (7)(b) at the end insert “ or section 135 of ITTOIA 2005 (income tax provision corresponding to this section) ”.

455

In section 40C(1) (cases where section 40B does not apply) after “section 42 below” insert “ or under any of sections 138 to 140 of ITTOIA 2005 (corresponding income tax provisions) ”.

456

1

Amend section 40D (election for sections 40A and 40B not to apply) as follows.

2

In subsection (1)(a) after “this section” insert “ or under section 143 of ITTOIA 2005 ”.

3

In subsection (2)(a)(i) for “a person who carries” substitute “ a company within the charge to corporation tax carrying ”.

4

In subsection (4) for “given—” to the end substitute “ given not later than two years after the end of the relevant period in which the master version of the film is completed. ”

5

In subsection (7) at the end insert “ or any of that expenditure is deducted under any of sections 137 to 140 of ITTOIA 2005 (corresponding income tax provisions) ”.

457

1

Amend section 41 (relief for preliminary expenditure) as follows.

2

In subsection (1)—

a

for “tax purposes”, in the first place where it occurs, substitute “ the purposes of corporation tax ”,

b

for “a person” substitute “ a company within the charge to corporation tax ”,

c

for “that person” substitute “ the company ”,

d

for “him” substitute “ it ”, and

e

after “section 40D above” insert “ or section 143 of ITTOIA 2005 ”.

F23

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4

In subsection (7)—

a

after “this section” insert “ or section 137 of ITTOIA 2005 (corresponding income tax provision) ”, and

b

for “tax purposes” substitute “ the purposes of corporation tax ”.

458

1

Amend section 42 (relief for production or acquisition expenditure) as follows.

2

In subsection (1)—

a

for “tax purposes” substitute “ the purposes of corporation tax ”,

b

for “a person” substitute “ a company ”,

c

for “that person” substitute “ the company ”,

d

after “section 40B above” insert “ or section 135 of ITTOIA 2005 ”, and

e

after “section 40D above” insert “ or section 143 of ITTOIA 2005 ”.

3

In subsection (4)—

a

in paragraph (b) after “section 41 above” insert “ or section 137 of ITTOIA 2005 ”,

b

in paragraph (c) after “this section” insert “ or any provision of Chapter 9 of Part 2 of ITTOIA 2005 ”.

F14

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5

In subsection (7) after “section 40B above” insert “ or section 135 of ITTOIA 2005 ”.

459

In section 43(1) after the definition of “expenditure of a revenue nature” insert—

“ITTOIA 2005” means the Income Tax (Trading and Other Income) Act 2005,

460

Omit section 59 (furnished accommodation).

461

Omit Schedule 10 (furnished accommodation).