Clause 23

by inserting, immediately after subsection (2B), the following subsections:“(2BA) If —

any requirement under subsection (2A)(a) and (b) has been waived (whether before, on or after the date the Income Tax (Amendment) Act 2019 is published in the Gazette) for a company in relation to any writing‑down allowances under subsection (2B); and

the company fails to comply with a condition subsequent imposed under subsection (2B) for such waiver,then, if the Minister or the person appointed by the Minister is satisfied, having regard to the company’s representation and all the relevant circumstances of the case, that it is just and reasonable to do so, the Minister or appointed person —

may make a determination that the company is not entitled to any writing‑down allowance in respect of the relevant intellectual property rights for each year of assessment beginning with a specified year of assessment; and

must give a written notice of the determination to the Comptroller and the company.(2BB) If a determination is made under subsection (2BA), then (despite anything in this section) —

any writing‑down allowance that has already been made to the company in respect of those relevant intellectual property rights for each year of assessment beginning with the specified year of assessment is treated for the purposes of this section as having been wrongly made, and the Comptroller may, subject to section 74, make an assessment or additional assessment on the company for the year or years of assessment to make good any tax shortfall; and

no writing-down allowance may be made to the company in respect of the relevant intellectual property rights —

for any year of assessment after the year or years of assessment mentioned in paragraph (a); or

if no writing‑down allowance has been made to the company for the specified year of assessment, for the specified year of assessment and each subsequent year of assessment.”; and

by deleting paragraph (a) of subsection (10) and substituting the following paragraphs:“(a)under subsection (1) for any capital expenditure incurred in respect of intellectual property rights acquired after the last day of the basis period for the year of assessment 2016; (aa)under subsection (1AA) for any capital expenditure incurred in respect of intellectual property rights acquired after the last day of the basis period for the year of assessment 2025; or”.