Temple Bar - refurbishment
22/09/1997
Query
The total amount of expenditure incurred on refurbishment may not be less than an amount equal to10% of the market value of the building immediately before that expenditure is incurred. The issue arises as to whether in computing that total amount, the expenditure incurred by the lessee as well as the lessor may be taken in
Decision
The total amount of the expenditure incurred on refurbishment includes the expenditure incurred by the vendor as well as the purchaser. In such a case,the market value to be used is the market value immediately before the expenditure incurred by the vendor.
Income Tax
Section 333, Taxes Consolidation Act, 1997
Origin: RLS Division
File ref:IT973005