CA11130 - General: Claims: Income tax

In income tax cases capital allowance claims are made in the return (apart from the few exceptional cases - CA11120). The time limit for making a claim or amending a claim is the normal time limit for making or amending a tax return. That time limit is the first anniversary of 31 January following the year of assessment. For example, the capital allowance claim for 2002/03 can be amended at any time up until 31 January 2005 because 31 January following the year of assessment 2002/03 is 31 January 2004 and the first anniversary of that is 31 January 2005.

Where a business is carried on in partnership it is the partnership that claims the capital allowances and not the individual partners.

Example Rick and Frank are in partnership. They draw up their accounts to 30 June each year. In the year ended 30 June 2008 the partnership buys a helicopter for £100,000. Any capital allowance claim on the helicopter must be made by the partnership of Rick and Frank. It is not possible for either Rick or Frank to claim capital allowances on the helicopter in his own right.