F1Part 12ASale and lease-back etc

Annotations:
Amendments (Textual)
F1

Pt. 12A inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 4 para. 2 (with Sch. 9 paras. 1-9, 22)

F2Chapter 2New lease of land after assignment or surrender

Annotations:
Amendments (Textual)
F2

Pt. 12A Ch. 2 inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 4 para. 3 (with Sch. 9 paras. 1-9, 22)

New lease treated as ending

681BFPosition where rent reduces

1

If the rent for a relevant period exceeds the rent for the following comparable period, the term of the new lease must be treated as ending on the date when the relevant period ends.

2

For the purposes of this section—

a

a relevant period is a rental period of the new lease ending before its fifteenth anniversary,

b

the following comparable period (in relation to a relevant period) is the rental period which is of the same duration as the relevant period and which begins on the day following the end of the relevant period,

c

the rent for a period is the total rent payable under the new lease in respect of the period,

d

a rental period is a period in respect of which a payment of rent is to be made, and

e

the fifteenth anniversary of the new lease is the fifteenth anniversary of the date on which its term begins.

3

For the purposes of this section—

a

all rental periods of a quarter must be treated as being of the same duration, and

b

all rental periods of a month must be treated as being of the same duration.