Capital Allowances Act 2001 section 1

Capital allowances

Section 1 provides the overarching framework for the Capital Allowances Act 2001, setting out the types of capital expenditure for which tax allowances (and related charges) are available.

• The Act provides tax allowances for capital expenditure, together with charges connected to those allowances.
• Allowances are available under several distinct categories, including plant and machinery, structures and buildings, business premises renovation, mineral extraction, research and development, know-how, patents, dredging, and assured tenancies.
• Separate allowances are also available where a person contributes towards someone else's expenditure on plant or machinery, mineral extraction trades, or dredging.
• Some earlier categories of allowance — including industrial buildings, agricultural buildings, and flat conversions — have been repealed and are no longer available.