It has come to our attention that paragraph 15 of the draft legislation (PDF 275K)has caused some uncertainty and we understand that in some cases business is being held up as a result.
It is intended that paragraph 15 should apply only where there is a pre-existing heads of agreement.
We understand that there is some concern that, as currently drafted, the paragraph may apply even where there is no pre-existing heads of agreement. The draft legislation will be amended to ensure that it is clear that it is only to apply where there is, before 21 July 2005, a pre-existing heads of agreement that would satisfy Condition 1 for an excepted lease.
Enquiries and comments on this clarification should be addressed to:
Paul Lane
HM Revenue & Customs
CT & VAT Products & Processes Group
Mailstation A, 3rd floor
100 Parliament Street
London SW1A 2BQ
Telephone: 020 7147 2637
Email: Paul Lane
