§ 11.—(1) An election under section 94(4A) of this Act shall not cover disposals such as are specified in sub-paragraph (2) below.
§ (2) The disposals mentioned in sub-paragraph (1) above are disposals of, or of an interest in,—
- (a) plant or machinery,
- (b) an asset which the person making the disposal has at any time held for the purposes of or in connection with-
- (i) a trade consisting of the working of a source of mineral deposits, or
- (ii) where a trade involves (but does not consist of) such working, the part of the trade which involves such working, or
- (c) a licence under the Petroleum (Production) Act 1934 or the Petroleum (Production) Act (Northern Ireland) 1964; but a disposal does not fall within paragraph (a) or (b) above unless a capital allowance in respect of any expenditure attributable to the asset has been made to the person making the disposal or would have been made to him had he made a claim.
§ (3) Where the person making the disposal acquired the asset on a no gain/no loss disposal, the references in sub-paragraph (2) above to that person are references to the person making the disposal, the person who last acquired the asset otherwise than on a no gain/no loss disposal or any person who subsequently acquired the asset on such a disposal.
§ (4) In this paragraph—
- (a) "source of mineral disposits" shall be construed in accordance with Schedule 13 to the Finance Act 1986, and
- (b) references to a no gain/no loss disposal shall be construed in accordance with paragraph 1 above.