- Latest available (Revised)
- Original (As enacted)
Capital Allowances Act 2001
You are here:
What Version
Advanced Features
Opening Options
More Resources
Status:
This is the original version (as it was originally enacted).
242Restriction on B’s qualifying expenditure: general
This section has no associated Explanatory Notes
(1)This section applies instead of section 218 (restriction on B’s qualifying expenditure in case other than sale and finance leaseback) if—
(a)apart from this subsection, section 218 would apply, and
(b)an additional VAT liability has been incurred by, or an additional rebate has been made to, any of the persons mentioned in that section.
(2)The amount, if any, by which E exceeds D is to be left out of account in determining B’s available qualifying expenditure.
E and D are defined in subsections (3) to (6).
(3)Except where subsection (6) applies, E is the sum of—
(a)B’s expenditure under the relevant transaction, and
(b)any additional VAT liability incurred by B in respect of that expenditure.
(4)If S is required to bring a disposal value into account under this Part because of the relevant transaction, D is that disposal value.
(5)If S is not required to bring a disposal value into account under this Part because of the relevant transaction, D is whichever of the following is the smallest—
(a)the market value of the plant or machinery;
(b)if S incurred capital expenditure on the provision of the plant or machinery, the amount of that expenditure—
(i)increased by the amount of any additional VAT liability incurred by S in respect of that expenditure, and
(ii)reduced by the amount of any additional VAT rebate made to S in respect of that expenditure;
(c)if a person connected with S incurred capital expenditure on the provision of the plant or machinery, the amount of that expenditure—
(i)increased by the amount of any additional VAT liability incurred by that person in respect of that expenditure, and
(ii)reduced by the amount of any additional VAT rebate made to that person in respect of that expenditure.
(6)If—
(a)S is not required to bring a disposal value into account under this Part because of the relevant transaction,
(b)the smallest amount under subsection (5) is the market value of the plant or machinery, and
(c)that value is determined inclusive of value added tax,
E is the amount of B’s expenditure under the relevant transaction.
Options/Help
Print Options
PrintThe Whole Act
PrintThe Whole Part
PrintThe Whole Chapter
PrintThe Whole Cross Heading
PrintThis Section only
You have chosen to open The Whole Act
The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
You have chosen to open The Whole Act as a PDF
The Whole Act you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
You have chosen to open The Whole Act without Schedules
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
You have chosen to open The Whole Act without Schedules as a PDF
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
You have chosen to open The Whole Part
The Whole Part you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
You have chosen to open The Whole Part as a PDF
The Whole Part you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
You have chosen to open the Whole Act
The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
You have chosen to open the Whole Act without Schedules
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
You have chosen to open Schedules only
The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
Legislation is available in different versions:
Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.
Original (As Enacted or Made): The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.
See additional information alongside the content
Show Explanatory Notes for Sections: Displays relevant parts of the explanatory notes interweaved within the legislation content.
Opening Options
Different options to open legislation in order to view more content on screen at once
Explanatory Notes
Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.
More Resources
Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:
- the original print PDF of the as enacted version that was used for the print copy
- lists of changes made by and/or affecting this legislation item
- confers power and blanket amendment details
- all formats of all associated documents
- correction slips
- links to related legislation and further information resources
More Resources
Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:
- the original print PDF of the as enacted version that was used for the print copy
- correction slips
Click 'View More' or select 'More Resources' tab for additional information including:
- lists of changes made by and/or affecting this legislation item
- confers power and blanket amendment details
- all formats of all associated documents
- links to related legislation and further information resources
All content is available under the Open Government Licence v3.0 except where otherwise stated. This site additionally contains content derived from EUR-Lex, reused under the terms of the Commission Decision 2011/833/EU on the reuse of documents from the EU institutions. For more information see the EUR-Lex public statement on re-use.