Finance Act, 1987
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Application of section 52 (capital allowances: treatment of grants, etc.) of Finance Act, 1986, to food processing trade. |
25.—(1) For the purposes of this section— | |
“food processing trade” means a trade which consists of, or includes, the manufacture of processed food; | ||
“processed food” means goods, manufactured within the State in the course of a trade by a company, which— | ||
(a) are intended for human consumption as a food, and | ||
(b) have been manufactured by a process involving the use of machinery or plant whereby the goods which are produced by the application of that process differ substantially in form and value from the materials to which the process has been applied and, without prejudice to the generality of the foregoing, the process does not consist primarily of— | ||
(i) the acceleration, retardation, alteration or application of a natural process, or | ||
(ii) the application of methods of preservation, pasteurisation or any similar treatment; | ||
“qualifying machinery or plant” means machinery or plant used solely in the course of a process of manufacture whereby processed food is produced. | ||
(2) The provisions of subsection (1) of section 52 of the Finance Act, 1986 , shall not apply, and shall be deemed never to have applied,where an allowance falls to be made under section 241 or section 251 of the Income Tax Act, 1967 , in taxing a food processing trade carried on by a company and the capital expenditure in respect of which the allowance falls to be made was incurred by that company and was so incurred in respect of qualifying machinery or plant: | ||
Provided that the reference in this subsection to expenditure incurred by a company shall not include any expenditure which it is deemed to have incurred in accordance with the provisions of section 241 (2) or section 252 of the said Act. |