The Capital Allowances (Environmentally Beneficial Plant and Machinery) (Amendment) Order 2012

Statutory Instruments

2012 No. 1838

Income Tax

Corporation Tax

The Capital Allowances (Environmentally Beneficial Plant and Machinery) (Amendment) Order 2012

Made

12th July 2012

Laid before the House of Commons

13th July 2012

Coming into force

2nd August 2012

The Treasury make the following Order in exercise of the powers conferred by section 45H(3) to (5) of the Capital Allowances Act 2001(1).

Citation and commencement

1.  This Order may be cited as the Capital Allowances (Environmentally Beneficial Plant and Machinery) (Amendment) Order 2012 and comes into force on 2nd August 2012.

Amendment of the Capital Allowances (Environmentally Beneficial Plant and Machinery) Order 2003

2.  The Capital Allowances (Environmentally Beneficial Plant and Machinery) Order 2003(2) is amended as follows.

3.  In article 2 (interpretation) in the definitions of “the Water Technology Criteria List” and “the Water Technology Product List”—

(a) for “26th June 2011” substitute “22 June 2012” in both places; and

(b) for “2nd September 2011” substitute “5 July 2012” in both places.

Michael Fabricant

Jeremy Wright

Two of the Lords Commissioners of Her Majesty’s Treasury

12th July 2012

EXPLANATORY NOTE

(This note is not part of the Order)

This Order amends the Capital Allowances (Environmentally Beneficial Plant and Machinery) Order 2003 (S.I. 2003/2076, as amended; the “principal Order”). The principal Order implemented legislation to introduce a scheme for 100% first-year allowances to encourage businesses to invest in environmentally beneficial plant and machinery (as defined by section 45H of the Capital Allowances Act 2001 (c. 2)).

Section 45H enables the Treasury to specify qualifying plant and machinery by Order by reference to a description or criteria given by the Secretary of State in a technology or product list. The Secretary of State for the Environment, Food and Rural Affairs has issued the Water Technology Criteria List and the Water Technology Product List. These lists have been revised and replaced by new lists issued on 5th July 2012. This Order amends the principal Order to reflect the new lists.

The Water Technology Criteria List and the Water Technology Product List are available at http://www.defra.gov.uk.

A Tax Information and Impact Note covering this instrument was published on 21st March 2012 and is available on the HMRC website at http://www.hmrc.gov.uk/budget2012/tiin-0691.htm. It remains an accurate summary of the impacts that apply to this instrument.

(1)

2001 c. 2; section 45H was inserted by paragraph 3 of Schedule 30 to the Finance Act 2003 (c. 14).

(2)

S.I. 2003/2076, amended by S.I. 2004/2094, 2005/2423, 2006/2235, 2007/2166, 2008/1917, 2009/1864, 2010/2483 and 2011/2220.