Capital Allowances Act 2001 section 157

Adjustment of assessments etc

Section 157 requires that tax assessments be adjusted as necessary to give effect to the ships chapter of the capital allowances rules, with a specific exception for notification requirements under section 145.

• All tax assessments and adjustments to assessments must be made as necessary to implement the rules in Chapter 12 (Ships)
• This general adjustment rule does not apply in the case of section 145, which deals with notification requirements where there is no entitlement to defer disposal proceeds
• Section 145 has its own separate assessment rules, allowing HMRC to make an assessment at any time within 12 months after a shipowner notifies them of the relevant circumstances
• The special 12-month assessment window under section 145 overrides the normal time limits that would otherwise restrict when HMRC can raise an assessment