Section 398F | Limit on availability of capital allowances to A

(1)Expenditure incurred by A in providing plant or machinery is not qualifying expenditure for the purposes of Part 2 of CAA 2001 if the expenditure is incurred on the acquisition or creation of an independent asset.

(2)An asset is an “independent” asset if, in the normal course of business—

(a)it could be used individually (whether or not it could also be used in conjunction with another asset or other assets as a constituent part of a single asset consisting of more than one asset (a “combined asset”)), or

(b)it could be used (at different times) as a constituent part of different combined assets.