Finance Act, 1973

Amendment of section 5 of Principal Act.

79.—Section 5 of the Principal Act is hereby amended—

(a) by the substitution for subsection (2) of the following subsection :

“(2) (a) Services, whether or not rendered for a consideration or for a separate consideration, which, apart from this subsection, would not be regarded as rendered by a person in the course of business, shall, subject to and to the extent provided by regulations, be regarded as rendered by him in the course of business if they are connected with any business activity in which he engages.

(b) For the purposes of this subsection and section 32, services shall be regarded as connected with a business activity in which a person engages if he provides facilities for, or contributes in whole or part towards the cost of, rendering them.”, and

(b) by the insertion in subsection (5) after paragraph (b) of the following paragraph :

“(c) This subsection shall not apply to a supply of goods of a kind specified in paragraph (xii) of the Second Schedule.”.