TTM17476 - Schedule 22 Finance Act 2000: Capital Allowances

Meaning of ‘not entitled to capital allowances’

FA00/SCH22/PARA87

(1) Where any provision of this Part of this Schedule states that a person is not entitled to capital allowances in respect of expenditure on plant or machinery-

(a) a first-year allowance shall not be given in respect of that expenditure, and

(b) the expenditure shall be disregarded for the purposes of calculating the person's entitlement to a writing-down allowance or balancing allowance or liability to a balancing charge.

(2) If there is no entitlement to capital allowances in respect of expenditure, there is no entitlement to capital allowances in respect of any additional VAT liability incurred in respect of it.

History

Amended by Schedule 2 CAA 2001. Up to 31^s t March 2001 subparagraph 1 read:

(1) Where any provision of this Part of this Schedule states that a person is not entitled to capital allowances in respect of expenditure on plant or machinery-

(a) a first-year allowance shall not be given in respect of that expenditure, and

(b) the expenditure shall be disregarded for the purposes of sections 24, 25 and 26 of the Capital Allowances Act 1990.

References