Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

Business Leasing Manual

From
HM Revenue & Customs
Updated
, see all updates

’Income-into-capital’ schemes and back loaded leases: Lease changes: effect of other changes in leasing arrangements

The effect of other changes in leasing arrangements and/or in their accountancy treatment are described under the following headings:

  • changes affecting a lease within Chapter 2 of Part 21 of CTA 2010- see BLM74310,
  • ‘new’ operating lease becomes a finance lease - see BLM74315,
  • ‘new’ Chapter 3 of Part 21 of CTA 2010 lease,
  • existing operating lease becomes a Chapter 3 lease - see BLM74325, and
  • Chapter 3 finance lease becomes an operating lease - see BLM74330.
  • In this Section:

    • a ‘post 25 November 1996’ lease is one which forms part of a ‘post-25 November 1996 scheme’ within the meaning of CTA10/S930 (normally a lease granted on or after 26 November 1996); and
    • a ‘pre-26 November 1996’ lease is one which forms part of a ‘pre-26 November 1996 scheme’ under CTA10/S930.

See BLM74325 for a detailed discussion of the distinction.