Section 356HA — Corporation Tax Act 2010: Reduction of allowance if equity disposed of

Reduction of allowance if equity disposed of 356HA 1 The following amount is to be deducted, in accordance with section 356GD(1), in calculating the total amount of unactivated allowance attributable to a reference period and a site— F × E1 − E2 E1 where— F is the pre-transfer total of unactivated allowance for the reference period that ends with the day on which the disposal is made; E1 is the transferor's share of the equity in the licensed area immediately before the disposal; E2 is the transferor's share of the equity in the licensed area immediately after the disposal.

2 The “pre-transfer total of unactivated allowance” for a reference period is— P + Q where P and Q are the same as in section 356GD.