Section 614BY | Post-25 November 1996 schemes to which Chapter 3 applied first ^F1

(1)This section applies if—

(a)the conditions in section 614BC become met in the case of the lease of the asset, and

(b)immediately before those conditions become met, Chapter 3 applied.

(2)Subsection (3) applies for the purpose of determining—

(a)the cumulative accountancy rental excess for any period of account ending after those conditions become met, or

(b)the cumulative normal rental excess for any such period.

(3)This Part has effect as if this Chapter had applied in relation to the lease at any time when Chapter 3 applied in relation to it.

(4)If at any time the person who was the lessor at that time was a person within the charge to corporation tax on income—

(a)the reference in subsection (1)(a) to the conditions in section 614BC becoming met at that time includes a reference to the conditions in section 902 of CTA 2010 becoming so met,

(b)the reference in subsection (1)(b) to Chapter 3 applying immediately before that time includes a reference to Chapter 3 of Part 21 of that Act so applying, and

(c)the reference in subsection (3) to Chapter 3 applying at that time includes a reference to Chapter 3 of that Part so applying.