Capital Allowances Act 2001 section 7

No double allowances

Section 7 prevents a person from claiming capital allowances under more than one Part of the Act for the same expenditure or the same asset.

• Where a capital allowance has been given under one Part of the Act, no allowance can be claimed under any other Part for the same expenditure
• The prohibition also extends to the provision of any asset to which that expenditure related, preventing claims via a different route for the same underlying asset
• The rule covers not only straightforward capital expenditure but also expenditure treated as capital expenditure for the purposes of structures and buildings allowances on renovation, conversion and incidental repairs
• Know-how allowances (Part 7) and patent allowances (Part 8) are excluded from this restriction, meaning allowances under those Parts can be combined with allowances under other Parts