(1) Rule 1 (as amended by section 17(3) of the Act of 1996) of Part II of the Third Schedule to the Principal Act is hereby amended by -
(a) the substitution for "subject to paragraphs (2) and (3) " of "Subject to paragraphs (2A) and (3) ",
(b) the substitution for paragraphs (1) and (2) of the following paragraph:
"(1) other than in such circumstances and subject to such conditions and for such periods as may be prescribed, the yearly value of property belonging to the person (not being property personally used or enjoyed by the person or a farm of land leased by him or her) which is invested or is otherwise put to profitable use by the person or which, though capable of investment or profitable use is not invested or put to profitable use by the person, the yearly value of the property being calculated as follows:
(a) the first £2,000 of the capital value of the property shall be excluded,
(b) the yearly value of the next £20,000 of the capital value of the property shall be a