Section 416ZD | Restriction on allowance available ^F1

(1)In determining how much of the consideration for the service is qualifying expenditure, there is to be left out of account the amount (if any) by which that consideration exceeds D.^F1

(2)D is the cost to S of providing the service or, if the qualifying expenditure relates to only part of the service, that part.^F1

(3)Subsection (2) is subject to—^F1

(a)subsection (4), and^F1

(b)section 416ZE,^F1

which provide for D to be calculated differently in certain circumstances.

(4)The following provisions apply in relation to an amount restricted under subsection (1) as they apply in relation to an amount restricted under section 165B(1)—^F1

(a)section 165C;^F1

(b)section 165E, subject to the modifications in subsection (5).^F1

(5)The modifications are that—^F1

(a)the references to Part 2 are to be read as references to this Part,^F1

(b)in subsection (1)(c), the reference to decommissioning expenditure is to be read as a reference to qualifying expenditure under section 416ZA, and^F1

(c)in subsection (5), the reference to R's available qualifying expenditure is to be read as a reference to R's qualifying expenditure on the restoration of the site.^F1

(6)But if, under the arrangement, a particular service or part of a service is provided by more than one person who is connected with R (so that without this subsection there would be more than one amount for D in relation to that service or part), D is the lowest of those amounts.^F1