SCHEDULES

SCHEDULE 3Films: restrictions on relief for production and acquisition expenditure

Part 2Restrictions on amount of relief which may be obtained

Section 139 of the Income Tax (Trading and Other Income) Act 2005 (c. 5)

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(1)

In section 139 of ITTOIA 2005 (certified master versions: production expenditure on limited-budget films), in subsection (5)(d) omit “, or section 42 of that Act (but not as applied by section 48(1) and (2) of F(No 2)A 1997),”.

(2)

The amendment made by this paragraph has effect for the year 2005-06 and subsequent years of assessment.

(3)

But that amendment does not have effect—

(a)

in relation to expenditure relating to films which had their first day of principal photography before 2nd December 2004, or

(b)

in any case to which section 139 of ITTOIA 2005 applies where any of the expenditure within subsection (1)(a) of that section is pre-announcement expenditure.