Finance (No. 2) Act 1992

Petroleum revenue tax

74Oil exported direct from United Kingdom off-shore fields

(1)The enactments specified in Schedule 15 to this Act (being enactments relating to oil taxation) shall have effect subject to the amendments in that Schedule, being amendments—

(a)which take account, for the purpose of determining assessable profits and allowable losses, of certain cases where oil which is won from an off-shore oil field is, or could reasonably be expected to be, first landed in a country other than the United Kingdom; or

(b)which are consequential upon, or incidental to, the amendments referred to in paragraph (a) above.

(2)For the purposes of subsection (1)(a) above an oil field is an off-shore oil field if the whole of it is situated outside the geographical area of the United Kingdom (as determined under section 108 of the [1986 c. 41.] Finance Act 1986 - the on-shore/off-shore boundary).

(3)In the amendments in Schedule 15 to this Act, any reference to a country other than the United Kingdom shall be treated as a reference to the geographical area of that country exclusive of any land (or waters) to the seaward side of the high-water line along the coast of that country, including the coast of all islands comprised in that country.

(4)For the purpose of subsection (3) above, section 108(5) of the [1986 c. 41.] Finance Act 1986 (which provides a means of determining the high-water line at any place in the United Kingdom) shall, with any necessary modifications, apply to determine the high-water line at any place in a country other than the United Kingdom.

(5)Except in so far as they have effect in relation to corporation tax or income tax, the amendments in Schedule 15 to this Act take effect as follows—

(a)in so far as they relate to expenditure incurred, they take effect for claim periods ending after 27th November 1991; and

(b)in so far as they relate to any other matter, they take effect for chargeable periods ending after 30th June 1992.

(6)This section shall be construed as one with Part I of the [1975 c. 22.] Oil Taxation Act 1975.