Capital Allowances Act 2001 section 172

Scope of Chapter etc

Section 172 defines the scope of the fixtures chapter, establishing how entitlement to plant and machinery allowances and ownership are determined when items become fixtures.

• This chapter governs entitlement to capital allowances for expenditure on plant or machinery that is, or becomes, a fixture attached to land or a building.
• Ownership of plant or machinery that is or becomes a fixture is determined under this chapter, although certain long funding lease cases are excluded.
• Where a person is treated as the owner of a fixture, that treatment is always subject to the rules on ceasing to be the owner — meaning ownership can be lost if circumstances change.
• References to being treated as the owner, or ceasing to be the owner, apply specifically for the purposes of Part 2 (plant and machinery allowances), and the chapter does not apply to contribution allowances for plant and machinery.