Finance Act 2009

This section has no associated Explanatory Notes

15(1)This paragraph applies to an asset if the first and second conditions are met.U.K.

(2)The first condition is that the asset—

(a)is part of the subject matter of the first transaction, and

(b)constitutes plant or machinery.

(3)The second condition is that, at any time when the asset is held as a bond asset, one of the following events occurs—

(a)the person with possession of the asset loses possession of it in circumstances where it is reasonable to assume that the loss is permanent, or

(b)the asset ceases to exist as such (as a result of destruction, dismantling or otherwise).

(4)That event is to be treated as a disposal event (in relation to P) occurring in the chargeable period in which that event occurs.

(5)For the purposes of sub-paragraph (4), the disposal value that P is required to bring into account is—

(a)where the case falls within item 3 or 4 of the Table in section 61(2) of CAA 2001 and the amount received by P as mentioned in that item is other than zero, that amount, and

(b)in any other case, the market value of the asset at the time of the event.