Finance Act 2013

Expenditure under abandonment guarantees

This section has no associated Explanatory Notes

3In Schedule 3 to OTA 1975 (petroleum revenue tax: miscellaneous provisions), in paragraph 8 (certain subsidised expenditure to be disregarded), after sub-paragraph (1) insert—

(1A)But sub-paragraph (1) above does not apply to any expenditure for which the relevant participator is liable that has been or is to be met directly or indirectly out of a payment made by the guarantor under an abandonment guarantee.

(1B)In sub-paragraph (1A) above—

  • abandonment guarantee” has the same meaning as it has for the purposes of section 3 of this Act (see section 104 of the Finance Act 1991), and

  • the guarantor” and “the relevant participator” have the same meaning as in section 104 of that Act.