Section 380 | When balancing adjustments are made ^F1

(1)A balancing adjustment is made if—

(a)qualifying expenditure has been incurred, and

(b)a balancing event occurs in a chargeable period for which a person would (apart from this section) be entitled to a writing-down allowance.

(2)A balancing adjustment is either a balancing allowance or a balancing charge and is made for the chargeable period in which the balancing event occurs.

(3)A balancing allowance or balancing charge is made to or on the person entitled to the relevant interest in relation to the qualifying expenditure immediately before the balancing event.