Capital Allowances Act 2001

122 Short-term leasing by buyer, lessee, etc.U.K.
This adran has no associated Nodiadau Esboniadol

(1)Plant or machinery is used for a qualifying purpose at any time when any of the persons listed in subsection (2) uses it for short-term leasing (as defined by section 121).

(2)The persons are—

(a)the person (“X”) who incurred expenditure on the provision of the plant or machinery;

(b)a person who is connected with X;

[F1(c)a person who acquired the plant or machinery from X as a result of a disposal on the occasion of which, or two or more disposals on the occasion of each of which—

(i)there was a change in the persons carrying on the qualifying activity which did not involve all of the persons carrying on that activity before the change permanently ceasing to carry it on, or

(ii) the qualifying activity carried on by the person making the disposal was treated as continuing under section 114(1) of ICTA (effect of partnership changes involving companies); ]

(d)a person to whom the plant or machinery is leased and who is resident in the United Kingdom;

(e)a person to whom the plant or machinery is leased, who is carrying on a qualifying activity in the United Kingdom and who uses the plant or machinery for the short-term leasing in the course of that activity.

F2(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F1S. 122(2)(c) substituted (with effect in accordance with s. 883(1) of the amending Act) by Income Tax (Trading and Other Income) Act 2005 (c. 5), , Sch. 1 para. 540(2) (with Sch. 2)

F2S. 122(3) repealed (with effect in accordance with s. 883(1) of the amending Act) by Income Tax (Trading and Other Income) Act 2005 (c. 5), Sch. 1 para. 540(3), Sch. 3 (with Sch. 2)