Capital Allowances Act 2001

527 Writing off or increase of expenditure where balancing adjustment madeU.K.

This section has no associated Explanatory Notes

(1)This section applies if the relevant interest in the dwelling-house is sold.

(2)If a balancing allowance is made, the amount by which the residue of qualifying expenditure attributable to the dwelling-house before the balancing event exceeds the net proceeds from the event is written off at the time of the event.

(3)If a balancing charge is made, the amount of the residue of qualifying expenditure attributable to the dwelling-house is increased at the time of the balancing event by the amount of the charge.

(4)But if the balancing charge is made under section 517(6) (difference between relevant allowances and adjusted net cost), the residue of qualifying expenditure attributable to the dwelling-house immediately after the balancing event is limited to the net proceeds from the event.