Capital Allowances Act 2001 section 533

Exclusion of contributions to dredging

Section 533 sets out the rule that contributions from public bodies or other persons towards dredging expenditure must be excluded when calculating capital allowances for dredging under Part 9.

• Where dredging expenditure is met by a public body or by capital contributions from another person for non-trade purposes, it is treated as not incurred by the trader for the purposes of Part 9 dredging allowances.
• The exclusion applies whether the contribution meets the expenditure directly or indirectly.
• The exclusion applies to expenditure on a trade carried on or to be carried on by the person concerned.
• Unlike the general contribution rules elsewhere, the exceptions in sections 534 to 536 do not apply — meaning this exclusion operates without any carve-outs.