SolvedSection 52 | First-year allowances
From legislation.gov.uk
(1)A person is entitled to a first-year allowance in respect of first-year qualifying expenditure if—
(a)the expenditure is incurred in a chargeable period to which this Act applies, and
(b)the person owns the plant or machinery at some time during that chargeable period.
(2)Any first-year allowance is made for the chargeable period in which the first-year qualifying expenditure is incurred.
(3)The amount of the allowance is a percentage of the first-year qualifying expenditure in respect of which the allowance is made, as shown in the Table—F1F2F3F4F5F6F7F8F9F10F11F12F13F14F15
| Type of first-year qualifying expenditure | Amount |
|---|---|
| . . . | . . . |
| . . . | . . . |
| . . . | . . . |
| . . . | . . . |
| Expenditure qualifying under section 45D (expenditure on cars with low CO2 emissions) | 100% |
| Expenditure qualifying under section 45DA (expenditure on zero-emission goods vehicles) | 100% |
| Expenditure qualifying under section 45E (expenditure on plant or machinery for gas refuelling station) | 100% |
| Expenditure qualifying under section 45EA (expenditure on plant or machinery for electric vehicle charging point) | 100% |
| Expenditure qualifying under section 45F (expenditure for use wholly in a ring fence trade) | 100% |
| . . . | . . . |
| Expenditure qualifying under section 45K (expenditure on plant and machinery for use in designated assisted areas) | 100% |
| Expenditure qualifying under section 45O (expenditure on plant and machinery for use in special tax sites) | 100% |
| Expenditure qualifying under section 45S (expenditure on plant or machinery in other cases) which is not special rate expenditure | 100% |
| Expenditure qualifying under section 45S (expenditure on plant or machinery in other cases) which is special rate expenditure | 50% |
| Expenditure qualifying under section 45U (expenditure on plant or machinery in cases not falling within section 45S etc) | 40% |
...
(3A)Subsection (3B) applies where the Treasury make regulations under section 45EA(4) (power to extend relevant period).F16
(3B)The regulations may amend the amount specified in column 2 of the Table in subsection (3) for expenditure qualifying under section 45EA, but only in relation to expenditure incurred after the date on which the relevant period would have ended but for the regulations.F16
(4)A person who is entitled to a first-year allowance may claim the allowance in respect of the whole or a part of the first-year qualifying expenditure.
(5)Subsection (1) needs to be read with section 236 (first-year allowances in respect of additional VAT liabilities) and is subject to—F17F18F19F20F21F22F23