Corporation Tax Act 2010 section 413

Relevant plant or machinery value where partnership lessee under long funding lease etc

Section 413 adjusts the calculation of the relevant plant or machinery value under section 411 where the partnership holds plant or machinery under a long funding lease or a hire purchase type arrangement.

• Any amount already included in the section 411(2) calculation for plant or machinery covered by this section must be removed from the total
• The ascribed value of that plant or machinery as at the relevant day is then added back to the total, or becomes the relevant plant or machinery value if the total would otherwise be nil
• The section applies where the partnership is the lessee under a long funding finance lease or long funding operating lease (condition A), or is treated as owner under a hire purchase or similar contract (condition B)
• The relevant conditions must be met either at the start of the relevant day, or at the end of that day if the plant or machinery was acquired on that day from a company mentioned in section 411(5)