Capital Allowances Act 2001 section 252

Mines, transport undertakings etc

Section 252 explains how capital allowances and balancing charges are given effect for certain qualifying activities such as mines, transport undertakings and similar concerns.

• Applies to businesses classified as mines, transport undertakings and other concerns listed in ITTOIA 2005 s 12(4) or CTA 2009 s 39(4)
• Capital allowances are treated as an expense of the concern, thereby reducing taxable profits
• Balancing charges are treated as a receipt of the concern, thereby increasing taxable profits
• Allowances and charges feed directly into the profit calculation for the relevant chargeable period under the applicable income tax or corporation tax rules