Section 88 | Decommissioning expenditure taken into account for PRT purposes

(1)Section 330B of CTA 2010 (decommissioning expenditure taken into account for PRT purposes) is amended as follows.

(2)In subsection (1), omit the “and” at the end of paragraph (a) and after paragraph (b) insert

(c)an amount equal to the appropriate fraction of the used-up amount of that expenditure is added under section 330A(2) in calculating the participator's adjusted ring fence profits for an accounting period.

(3)For subsection (2) substitute—

(2)In calculating for the purposes of section 330(1) the amount of the participator's adjusted ring fence profits for the accounting period, there is to be deducted the amount given by—

(4)In subsection (3)—

(a)before the definition of “the appropriate fraction” insert—;

(b)in the definition of “the appropriate fraction”, omit “relevant”;

(c)in the definition of “the PRT difference”, for “subsection (1)” substitute “ subsection (1)(a) ”.

(5)In subsection (4), for “subsection (1)” substitute “ subsection (1)(a) ”.

(6)In subsection (7)—

(a)omit the definition of “the relevant accounting period”, and

(b)at the end insert—

(7)The amendments made by this section have effect in relation to expenditure incurred in connection with decommissioning carried out on or after the day on which this Act is passed.