Taxes Consolidation Act, 1997 (Number 39 of 1997)
318 Meaning of “sale, insurance, salvage or compensation moneys”.
[ITA67 s304(1); CTA76 s21(1) and Sch1 par50; FA94 s24(c)]
In this Part, except where the context otherwise requires, “sale, insurance, salvage or compensation moneys”, in relation to an event which gives rise or might give rise to a balancing allowance or a balancing charge to or on any person, means—
(a) where the event is a sale of any property, including the sale of a right to use or otherwise deal in machinery or plant consisting of computer software, the net proceeds to that person of the sale,
[1]>
(aa)as respects machinery or plant consisting of computer software or the right to use or otherwise deal with computer software, where the event is the grant of a right to use or otherwise deal with the whole or part of that machinery or plant, the consideration in money or money’s worth received by that person for the grant of the right,
<[1]
(b) where the event is the demolition or destruction of any property, the net amount received by that person for the remains of the property, together with any insurance moneys received by that person in respect of the demolition or destruction and any other compensation of any description received by that person in respect of the demolition or destruction, in so far as that compensation consists of capital sums,
(c) as respects machinery or plant, where the event is the permanent loss of the machinery or plant otherwise than in consequence of its demolition or destruction, any insurance moneys received by that person in respect of any loss and any other compensation of any description received by that person in respect of that loss, in so far as that compensation consists of capital sums,[2]>and<[2]
(d) where the event is that a building or structure ceases altogether to be used, any compensation of any description received by that person in respect of that event, in so far as that compensation consists of capital [3]>sums.<[3][3]>sums, and<[3]
[4]>
(e) where the event is a cessation referred to in section 274(2A)(b), the aggregate of—
(i) the residue of expenditure (within the meaning of section 277) incurred on the construction or refurbishment of the building or structure immediately before that event, and
(ii) the allowances made under Chapter 1 of this Part in respect of the capital expenditure incurred on the construction or refurbishment of the building or structure.
<[4]
[2]
Deleted by FA06 s39(1)(b)(i). Applies in relation to a building or structure which is first used on or after 1 January 2006.
[3]
Substituted by FA06 s39(1)(b)(ii). Applies in relation to a building or structure which is first used on or after 1 January 2006.
[4]
Inserted by FA06 s39(1)(b)(iii). Applies in relation to a building or structure which— (a) is first used on or after 1 January 2006, or (b) where capital expenditure on the refurbishment of the building or structure is incurred, is, subsequent to the incurring of that expenditure, first used on or after 1 January 2006.