Capital Allowances Act 2001 section 270AB

Date on which construction begins

Section 270AB clarifies when construction of a building or structure is treated as having begun, specifically for determining whether it started before 29 October 2018, which is the key eligibility date for structures and buildings allowances.

• The section establishes a rule for determining when construction is treated as having started for the purposes of structures and buildings allowances.
• Construction is treated as having begun before 29 October 2018 if any contract for construction works on the building or structure was entered into before that date.
• The contract does not need to relate exclusively to the building or structure in question — it may also cover the construction of other buildings or structures.
• Buildings or structures where construction is treated as beginning before 29 October 2018 fall outside the scope of structures and buildings allowances, as these allowances only apply to construction commencing on or after that date.