Part IIU.K. Machinery and Plant

Chapter VIIIU.K. Supplementary Provisions

83 Other interpretative provisions.U.K.

(1)In this Part, except where the context otherwise requires—

  • income” includes any amount on which a charge to tax is authorised to be made under this Part;

  • mineral exploration and access” and “trade of mineral extraction” have the same meaning as in section 121;

  • motor car” has the meaning given by section 36;

  • new” (except in the expression “new expenditure") means unused and not second-hand.

(2)For the purposes of this Part, any expenditure incurred for the purposes of a trade by a person about to carry it on shall be treated as if it had been incurred by him on the first day on which he does carry it on.

(3)Any reference in this Part to an allowance or charge is a reference to such an allowance or charge under this Part and a reference to an allowance made or postponed under this Part includes, so far as the context permits, a reference to an allowance relating to expenditure in respect of machinery or plant (or anything treated as machinery or plant) made or postponed under any enactment repealed by this Act or by any other Act, notwithstanding that this Act does not re-enact that repealed enactment.

(4)The provisions of this Part, and the provisions applying for the purposes of this Part, shall apply in relation to a share in machinery or plant as they apply in relation to a part of machinery or plant; and for the purposes of those provisions, a share in machinery or plant shall be deemed to be used for the purposes of a trade so long as, and only so long as, the machinery or plant is used for those purposes.

(5)This Part has effect subject to section 577(1)(c) of the principal Act (under which the use of an asset for providing business entertainment is not to be treated as use for the purposes of a trade).

(6)For the purposes of this Part, where a person is carrying on a trade of mineral extraction, expenditure incurred by him in connection with that trade on the provision of machinery or plant for mineral exploration and access shall be taken to be incurred on the provision of the machinery or plant wholly and exclusively for the purposes of that trade.

[F1(7)Schedule AA1 (which excludes certain expenditure from the expression “expenditure on the provision of machinery or plant”) shall have effect.]

Textual Amendments

F1S. 83(7) added (with effect in accordance with s. 117(2) of the amending Act) by Finance Act 1994 (c. 9), s. 117(1)