Section 8FD | Downsizing addition: effect: section 8F case ^F1

(1)This section applies if—^F1

(a)as a result of section 8FA or 8FB, there is entitlement to a downsizing addition in calculating the person's residence nil-rate amount, and^F1

(b)apart from this section, the person's residence nil-rate amount is given by section 8F.^F1

(2)Subsections (3) to (6) apply instead of section 8F.^F1

(3)The person's residence nil-rate amount is equal to the downsizing addition.^F1

(4)Where—^F1

(a)E is less than or equal to TT, and the downsizing addition is equal to the person's default allowance, or^F1

(b)E is greater than TT, and the downsizing addition is equal to the person's adjusted allowance,^F1

no amount is available for carry-forward.

(5)Where—^F1

(a)E is less than or equal to TT, and^F1

(b)the downsizing addition is less than the person's default allowance,^F1

an amount, equal to the difference between the downsizing addition and the person's default allowance, is available for carry-forward.

(6)Where—^F1

(a)E is greater than TT, and^F1

(b)the downsizing addition is less than the person's adjusted allowance,^F1

an amount, equal to the difference between the downsizing addition and the person's adjusted allowance, is available for carry-forward.