Capital Allowances Act 2001 section 270HG

Apportionment of allowances

Section 270HG requires life insurance companies that carry on both basic life assurance and general annuity business (BLAGAB) and non-BLAGAB long-term business to split their structures and buildings allowances between those two businesses.

• Applies to companies whose long-term business includes both BLAGAB and non-BLAGAB activities
• Structures and buildings allowances on management assets must be apportioned between the two businesses
• The apportionment follows the rules in Chapter 7 of Part 2 of Finance Act 2012
• The requirement applies for each chargeable period in which the company is entitled to an allowance