# Capital Allowances Act 2001, Section 228A: Application of sections 228B and 228C

Extent: E+W+S+N.I.

(1) Sections 228B and 228C apply where plant or machinery is the subject of a lease and finance leaseback.
(2) Plant or machinery is the subject of a lease and finance leaseback if—
(a) a person (“S”) leases the plant or machinery to another (“B”),
(b) after the date of that transaction, the use of the plant or machinery falls within sub-paragraph (i), (ii) or (iii) of section 221(1)(b), and
(c) it is directly as a consequence of having been leased under a finance lease that the plant or machinery is available to be so used after that date.
(3) For the purposes of subsection (2), S leases the plant or machinery to B only if—
(a) S grants B rights over the plant or machinery,
(b) consideration is given for that grant, and
(c) S is not required to bring all of that consideration into account under this Part.

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Source: https://www.legislation.gov.uk/ukpga/2001/2/section/228A (the official version)
Page: https://openlegislation.uk/capital-allowances-act-2001/section-228A
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.