Finance Act, 1959

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Application to lessors.

43.—(1) Where machinery or plant is let upon such terms that the burden of the wear and tear thereof falls directly upon the lessor, the preceding provisions of this Chapter shall apply in relation to the lessor as if the machinery or plant were, during the term of the letting, in use for the purposes of a trade carried on by him.

(2) For paragraph (5) of Rule 6 of the Rules applicable to Cases I and II of Schedule D there shall be substituted the following paragraph:—

“(5) Where machinery or plant is let upon such terms that the burden of the wear and tear thereof falls directly on the lessor, he shall be entitled, on making a claim to the inspector of taxes within twelve months after the end of the year of assessment, to an allowance on account of the wear and tear of the machinery or plant equal to the amount which might have been allowed if, during the period of the letting, the machinery or plant were in use for the purposes of a trade carried on by him.”,

and references to the said paragraph (5) in any Act passed before the commencement of this Part of this Act shall be construed as references to the paragraph substituted by this subsection.