Section 416ZC | Site restoration services supplied by connected person ^F1

(1)Where—^F1

(a)a person (“R”) who is carrying on, or has ceased to carry on, a ring fence trade enters into an arrangement,^F1

(b)under the arrangement, a person (“S”) who is connected with R provides a service to R in connection with work on the restoration of a relevant site, and^F1

(c)(in the absence of this section) all or part of the consideration for the service would be qualifying expenditure of R under section 416ZA,^F1

the amount of the expenditure which is qualifying expenditure is restricted under section 416ZD(1).

(2)Subsection (1)(b) may be satisfied whether the service is provided to R directly or indirectly; and in particular it does not matter—^F1

(a)whether R and S are parties to the same contract, or^F1

(b)whether payments are made by R directly to S.^F1

(3)Subsections (4) and (5) apply for the purposes of this section and sections 416ZD and 416ZE.^F1

(4)“Relevant site” has the meaning given by section 416ZA(8).^F1

(5)References to providing a service include—^F1

(a)letting a ship on charter or any other asset on hire, and^F1

(b)providing goods which are to be used up in the course of providing a service.^F1