Capital Allowances Act 1990 (repealed) (c. 1)

Part II U.K. Machinery and Plant

Modifications etc. (not altering text)

C1 Pt. II (ss. 22–83) modified by Finance Act 1990 (c. 29), s. 87(3)(4)

C2 Pt. II modified (19.9.1994) by Coal Industry Act 1994 (c. 21), s. 68(4), Sch. 4 para. 22; S.I. 1994/2189, art. 2, Sch.

C3 Pt. 2 modified (8.11.1995) by Atomic Energy Authority Act 1995 (c. 37), Sch. 3 para. 20

C4 Pt. 2 modified (8.11.1995) by Atomic Energy Authority Act 1995 (c. 37), Sch. 3 para. 16

C5 Pt. 2 modified (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 14(1) (with Sch. 7 para. 14(2))

C6 Pt. 2 restricted (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 16

C7 Pt. 2 modified (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 15(2)

C8 Pt. 2 modified (24.7.1996) by Broadcasting Act 1996 (c. 55), s. 149(1)(f), Sch. 7 para. 15(3)

C9 Pt. 2 modified (with application in accordance with Sch. 12 para. 11(1) of the amending Act) by Finance Act 1997 (c. 16), Sch. 12 para. 11(3)(b) (with Sch. 12 paras. 13, 14)

Chapter VI U.K. Fixtures

54 Expenditure included in consideration for acquisition of existing interest in land. U.K.

(1) In any case where—

(a) after any machinery or plant has become a fixture, a person (“the purchaser") acquires an interest in the relevant land, being an interest which was in existence prior to his acquisition of it, and

(b) the consideration which the purchaser gives for that interest is or includes a capital sum which, in whole or in part, falls to be treated for the purposes of this Part as expenditure on the provision of the fixture, F1 ...

F1 (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

then, subject to [F2 the following provisions of this Chapter], on and after the purchaser’s acquisition of his interest in the relevant land, the fixture shall be treated for the purposes of this Part as belonging to him in consequence of his incurring expenditure as mentioned in paragraph (b) above.

(2) If, in a case where subsection (1)(a) above applies—

(a) the machinery or plant was, prior to the purchaser’s acquisition of the interest in the relevant land, let under an equipment lease, and

(b) in connection with the acquisition of the interest in the relevant land, the purchaser pays a capital sum to discharge the obligations of the equipment lessee under the equipment lease,

subsection (1) above shall apply as if that capital sum were such a capital sum as is referred to in paragraph (b) of that subsection.

Textual Amendments

F1 S. 54(1)(c) and preceding word repealed (with effect in accordance with Sch. 16 para. 4(4) of the amending Act) by Finance Act 1997 (c. 16), Sch. 16 para. 4(2)(a), Sch. 18 Pt. 6(12) (with Sch. 16 para. 4(5))

F2 Words in s. 54(1) substituted (with effect in accordance with Sch. 16 para. 4(4) of the amending Act) by Finance Act 1997 (c. 16), Sch. 16 para. 4(2)(b)

Modifications etc. (not altering text)

C10 S. 54 modified (19.9.1994) by Coal Industry Act 1994 (c. 21), s. 68(4), Sch. 4 para. 20(3)(c); S.I. 1994/2189, art. 2, Sch.