Capital Allowances Act 2001 section 130

Notice postponing first-year or writing-down allowance

Section 130 allows a person who owns a ship to postpone all or part of their first-year allowance or writing-down allowance by giving formal notice to HMRC.

• A person entitled to a first-year allowance on qualifying expenditure for providing a ship, or a writing-down allowance for a single ship pool, may postpone all or part of that allowance by notice
• The notice must specify the amount being postponed and be sent to an officer of Revenue and Customs within the relevant time limit
• For income tax purposes the deadline is the normal time limit for amending the tax return for that tax year; for corporation tax purposes it is no later than 2 years after the end of the relevant chargeable period
• Where only part of the expenditure has been claimed for a first-year allowance, or the writing-down allowance has been reduced to a specified amount, the postponement applies to the allowance as claimed or reduced