Part 2 Plant and machinery allowances

Chapter 17 Anti-avoidance

Sale and finance leasebacks

223 No first-year allowance for B’s expenditure

(1)

If plant or machinery is the subject of a sale and finance leaseback, a first-year allowance is not to be made in respect of B’s expenditure under the relevant transaction.

(2)

Any first-year allowance which is prohibited by subsection (1), but which has already been made, is to be withdrawn.