Section 148C | Lessor under long funding finance lease making termination payment ^F1

(1)This section applies for the purpose of calculating the profits of a person carrying on a trade for a period of account if he is or has been the lessor under a long funding finance lease.^F1

(2)Where—^F1

(a)the lease terminates, and^F1

(b)a sum calculated by reference to the termination value is paid to the lessee,^F1

no deduction in respect of the sum paid to the lessee is allowed in calculating the profits of the person.

(3)This section does not prevent a deduction in respect of a sum to the extent that the sum is brought into account in determining the person's rental earnings.^F1