Corporation Tax Act 2010 section 437B

Section 437A: supplementary

Section 437B provides supplementary rules for determining the market value of plant and machinery when applying the ascribed value provisions in section 437A.

• Market value must be determined as if the asset were being sold by an absolute owner, free from all leases and other encumbrances
• Any agreement or arrangement that is or includes a plant or machinery lease is treated as an encumbrance to be disregarded
• Where plant or machinery is a fixture attached to land, its market value is the proportion of the combined value of the land and fixture that is fairly attributable to the fixture alone
• The term "relevant land" takes its meaning from section 173(2) of the Capital Allowances Act 2001