Capital Allowances Act 2001 section 393G

Interest acquired on completion of conversion

Section 393G deals with how a person's interest in a building is treated for Business Premises Renovation Allowance purposes when that interest is acquired upon the completion of a conversion project.

• When a person acquires an interest in a building on completion of its conversion, that interest is treated as if it were a separate interest from any interest held during the conversion works.
• The residue of qualifying expenditure for the newly acquired interest starts at the amount of qualifying expenditure actually incurred on the conversion.
• This provision ensures that the allowance calculations begin afresh based on the conversion expenditure, rather than carrying forward any previous figures associated with the property.
• This section was amended by Finance Act 2012, Schedule 39, paragraph 37.