Capital Allowances Act 2001 section 18

Managing the investments of a company with investment business

Section 18 defines what is meant by "managing the investments of a company with investment business" for the purposes of capital allowances in Part 2 of the Act.

• Managing investments means carrying out activities where the related spending would qualify as expenses of management for corporation tax purposes.
• The definition ties directly to the corporation tax rules on management expenses in section 1219 of the Corporation Tax Act 2009.
• A "company with investment business" takes its meaning from section 1218B of the Corporation Tax Act 2009.
• This section ensures that capital allowances for plant and machinery align with the existing corporation tax treatment of investment management expenses.