(1)This section applies to a loan that is used for capital expenditure on the provision of plant or machinery to which subsection (2) applies.
(2)This subsection applies to plant or machinery if—
(a)it is in use for the purposes of an office or employment held by an individual in the tax year,
(b)the plant or machinery belongs to the individual, and
(c)the individual is entitled to a capital allowance or liable to a balancing charge in respect of it under Part 2 of CAA 2001 for the tax year.
(3)An individual is treated as entitled to a capital allowance or liable to a balancing charge in respect of plant or machinery for a tax year (“the later year”) for the purposes of subsection (2)(c) if—
(a)the individual has been so entitled or liable for a previous tax year, and
(b)no disposal value has been brought into account in respect of it in the later year or any earlier year.
(4)An individual is also treated as so entitled or liable for the purposes of this section if the individual would be so entitled or liable but for a contribution made by the individual's employer.