Capital Allowances Act 2001 section 270DA

General rule as to what is the relevant interest

Section 270DA establishes the general rule for identifying which property interest counts as the "relevant interest" for the purposes of structures and buildings allowances.

• The relevant interest is the interest in the building or structure held by the person who incurred the construction expenditure at the time that expenditure was incurred
• Where that person held multiple interests in the building at the time, and one of those interests was reversionary on all the others, the reversionary interest is the relevant interest
• On a sale of the relevant interest, the seller — not the purchaser — is treated as holding the relevant interest on the day of transfer
• These general rules are subject to special provisions dealing with highway undertakings and the termination of leases