EIM36620 - Deductions from earnings: capital allowances: calculating the allowances due: first year allowances: exceptions

The following items do not qualify for first year allowances, even if they were bought during a qualifying period:

• motor cars and motor cycles (see EIM36750)
• any items bought from a connected person (see CA28300)
• any items bought in the year of assessment in which the office or employment ceases (because then a balancing charge or balancing allowance arises instead, see EIM36670).

As regards the first bullet point above, remember that employees cannot claim any capital allowances for cars or motor cycles after 5 April 2002 (see EIM36520).