Finance Leasing Manual - FLM36.01

Schedule 12 FA 1997: lease changes: introduction

In general, special rules are not needed in Schedule 12 FA 1997 to deal with situations where the terms of leasing arrangements and/or their accountancy treatment change. The exception is where a lease in existence immediately before 26 November 1996 initially does not come within Part I but subsequently does so. Paragraph 13 Schedule 12 imposes a catching up charge in these circumstances and this is described in FLM36.16.