Taxation (International and Other Provisions) Act 2010 section Schedule 9 paragraph 43

Application of section 809BZN of ITA 2007 (finance arrangements: exceptions)

Schedule 9 paragraph 43 provides transitional rules that modify the exceptions to the finance arrangements anti-avoidance rules depending on when the relevant transfer, arrangement or transaction took place.

• For transfers before 22 April 2009, the effect of the old rent factoring rules for leases of plant or machinery (former section 785A of ICTA) is disregarded when determining whether an existing tax provision already counteracts the arrangement.
• Where a finance arrangement came into force before 1 October 2007, the exception for repo (sale and repurchase) transactions refers to the older legislation (paragraph 15 of Schedule 9 to Finance Act 1996) rather than the later replacement provisions.
• For sale and finance leasebacks of plant or machinery where the transaction date is before 9 October 2007, the definition of "finance lease" is applied without excluding long funding leases, broadening the scope of the exception.
• For certain lease and leaseback transactions entered into before 9 October 2007, the capital allowances exception applies with the additional modifications set out in section 228F of the Capital Allowances Act 2001.