Part 10 Assured tenancy allowances
Chapter 3 Qualifying expenditure
502 Purchase of unused dwelling-house where developer not involved
1
This section applies if—
a
expenditure has been incurred on the construction of a building which was to be or include a qualifying dwelling-house,
b
the relevant interest was sold before the first use of any dwelling-house comprised in the building,
c
a capital sum was paid by the purchaser for the relevant interest, and
d
section 503 (purchase of dwelling-house sold unused by developer) does not apply.
2
The lesser of—
a
the capital sum paid by the purchaser for the relevant interest, and
b
the expenditure incurred on the construction of the building,
is qualifying expenditure.
3
The qualifying expenditure is to be treated as having been incurred when the capital sum became payable.
4
If the relevant interest was sold more than once before the first use of any dwelling-house comprised in the building, subsection (2) has effect only in relation to the last of those sales.