Section 356DB — Finance Act 2014: Companies with both field allowances and onshore allowance

Companies with both field allowances and onshore allowance 356DB 1 This section applies where a company's adjusted ring fence profits for an accounting period are reducible both—

a under section 333(1) (by the amount of the company's pool of field allowances for the period),

and b under section 356D(1) (by the cumulative total amount of activated allowance for the period).

2 The company may choose the order in which the different allowances are to be used.

3 If the company chooses to apply section 333(1) first, then—

a Chapter 7 and this Chapter are to be ignored in calculating the “adjusted ring fence profits” in accordance with section 356AA, and b if section 356D(1) is also applied: this Chapter, but not Chapter 7, is to be ignored in calculating the adjusted ring fence profits in accordance with section 356JB.

4 If the company chooses to apply section 356D(1) first, then—

a this Chapter and Chapter 7 are to be ignored in calculating the adjusted ring fence profits in accordance with section 356JB, and b if section 333(1) is also applied: Chapter 7, but not this Chapter, is to be ignored in calculating the “adjusted ring fence profits” in accordance with section 356AA.