Taxes Consolidation Act 1997 section 669N

Balancing charges on relevant vessel

Section 669N spreads the balancing charge arising from a Brexit compensation payment for the destruction of a relevant vessel over five chargeable periods.

• A "balancing charge" has the same meaning as in section 288 (capital allowances balancing charges).
• The section applies only to the portion of the Brexit compensation sum that relates to compensation for destroying a relevant vessel.
• Where a balancing charge arises on receipt of the compensation, the charge for the initial chargeable period is reduced to one-fifth of what it would otherwise have been.
• A further balancing charge of one-fifth of the original amount is made in each of the four immediately succeeding chargeable periods.