Corporation Tax Act 2009 section 143

Allocation of site preparation expenditure

Section 143 explains how site preparation expenditure is spread over accounting periods in proportion to how much of a waste disposal site has been filled during each period.

• Site preparation expenditure is allocated to each period using a formula based on the proportion of the site filled with waste during that period relative to the total remaining capacity
• Residual expenditure is the cumulative site preparation spend to date, reduced by any amounts already relieved through capital allowances or deducted in earlier periods
• For traders who began their trade before 6 April 1989, an additional reduction is made to exclude a portion of old unrelieved expenditure incurred before that date
• The exclusion for pre-1989 expenditure is calculated by reference to the proportion of the site that had already been filled before 6 April 1989