Introduction Overview Overview Section 284: Valuation where relevant appropriation but no disposal
970.This section imposes a market value in a case where an oil producer does not sell the oil to another party but takes it into use in another of its businesses, such as refining. It is based on section 493(2) of ICTA.
971.The corresponding rule for income tax is section 225I of ITTOIA (inserted by Schedule 1 to TIOPA).
972.Where a market value is applied for PRT purposes by OTA 1975, that market value is used in the calculation of profits for corporation tax purposes – see subsections (4) and (5). The market value also applies to the non-ring fence trade.