Capital Allowances Act 1990 (repealed)

27 Professions, employments, vocations etc. U.K.

(1) Except as otherwise provided and subject in particular to subsections (2) [F1 to (3)] below, the provisions of this Part shall, with any necessary adaptations, apply in relation to—

(a) professions, employments, vocations and offices, and

(b) the occupation of woodlands where the profits or gains thereof are assessable under Schedule D,

as they apply in relation to trades.

(2) The provisions of this Part in their application in accordance with this section to an office or employment—

(a) shall apply only to machinery or plant which is necessarily provided for use in the performance of the duties thereof, and

(b) shall have effect subject to section 198(2) of the principal Act (offices and employments with duties abroad).

[F2 (2A) In the case of machinery to which this subsection applies, subsection (2)(a) above shall have effect with the omission of the word “necessarily".

(2B) Subsection (2A) above applies to machinery if—

(a) it consists of a mechanically propelled road vehicle [F3 or a cycle], and

(b) capital expenditure incurred on its provision is incurred partly for the purposes of the office or employment and partly for other purposes.

[F4 In paragraph (a) “cycle” has the meaning given by section 192(1) of the Road Traffic Act 1988.]

(2C) Section 24 in its application in accordance with this section to an office or employment shall have effect, where a person’s qualifying expenditure consists of expenditure incurred on the provision of machinery to which subsection (2A) above applies, with the modifications set out in subsections (2D) and (2E) below.

(2D) In subsection (2)(b) for the word “whole" there shall be substituted the words “appropriate fraction".

(2E) The following subsection shall be inserted after subsection (2)— “(2A) For the purposes of subsection (2)(b) above the appropriate fraction is—

where—

A is the number of chargeable periods in the case of which—

• (a) the person has carried on the trade,

• (b) the machinery or plant has belonged to him, and

• (c) he has claimed an allowance falling to be made to him under this section by reference to expenditure incurred on the provision of the machinery or plant; and

B is the number of chargeable periods in the case of which—

• (a) the person has carried on the trade,

• (b) the machinery or plant has belonged to him, and

• (c) an allowance falls to be made to him under this section by reference to expenditure incurred on the provision of the machinery or plant."”]

(3) This section shall have effect from 6th April 1993 with the omission of subsection (1)(b).

Textual Amendments

F1 Words substituted by Finance Act 1990 (c. 29), s. 87(1)(4)

F2 S. 27(2A)–(2E) inserted by Finance Act 1990 (c. 29), s. 87(2)(4)

F3 Words in s. 27(2B)(a) inserted (with effect in accordance with s. 50(3) of the amending Act) by Finance Act 1999 (c. 16), s. 50(2)(a)

F4 Words in s. 27(2B) inserted (with effect in accordance with s. 50(3) of the amending Act) by Finance Act 1999 (c. 16), s. 50(2)(b)