Search Legislation

The Capital Allowances Act 2001 (Cars Emissions) Order 2016

What Version

 Help about what version
  • Latest available (Revised)
  • Original (As made)

Opening Options

 Help about opening options

Status:

This is the original version (as it was originally made). This item of legislation is currently only available in its original format.

Statutory Instruments

2016 No. 984

Corporation Tax

Income Tax

The Capital Allowances Act 2001 (Cars Emissions) Order 2016

Made

10th October 2016

Laid before the House of Commons

11th October 2016

Coming into force

1st November 2016

The Treasury make the following Order in exercise of the powers conferred by sections 45D(1A) and (7) and 104AA(5) of the Capital Allowances Act 2001(1).

Citation and commencement

1.  This Order may be cited as the Capital Allowances Act 2001 (Cars Emissions) Order 2016 and comes into force on 1st November 2016.

2.  The amendments made by article 4(b) and article 5 have effect in relation to expenditure incurred on or after 1st April 2018.

Amendment of the Capital Allowances Act 2001

3.  The Capital Allowances Act 2001 is amended as follows.

4.  In section 45D—

(a)in subsection (1)(a)(2) for “2018” substitute “2021”; and

(b)in subsection (4)(3) for “75” substitute “50”.

5.  In section 104AA(4)(4) for “130” substitute “110”.

Revocation

6.  Article 4(a) of the Capital Allowances Act 2001 (Extension of first-year allowances) (Amendment) Order 2015(5) is revoked.

Stephen Barclay

David Evennett

Two of the Lords Commissioners for Her Majesty’s Treasury

10th October 2016

EXPLANATORY NOTE

(This note is not part of the Order)

This Order amends sections 45D and 104AA of the Capital Allowances Act 2001 (c.2). These sections set out the conditions to qualify for 100% first-year allowances (section 45D) and main rate allowances (section 104AA) on expenditure in respect of cars with low carbon dioxide emissions.

Article 4 extends the first-year allowance for cars with low carbon dioxide emissions for a further three year period ending on 31st March 2021. It also reduces the qualifying emissions threshold for the first-year allowance from 75 grams to 50 grams per kilometre driven, in relation to expenditure incurred on or after 1st April 2018.

Article 5 reduces the qualifying emissions threshold for the main rate allowance from 130 grams to 110 grams per kilometre driven, in relation to expenditure incurred on or after 1st April 2018.

This Order revokes article 4(a) of S.I. 2015/60, which previously amended section 45D(1)(a) of the Capital Allowances Act 2001.

A Tax Information and Impact Note covering this instrument will be published on the website athttps://www.gov.uk/government/collections/tax-information-and-impact-notes-tiins.

(1)

2001 c.2; section 45D was inserted by section 59 of, and paragraph 3 of Schedule 19 to, the Finance Act 2002 (c.23); section 45D(1A) was inserted by section 64(2) of the Finance Act 2014 (c.26); section 104AA was inserted by paragraph 8 of Schedule 11 to the Finance Act 2009 (c.10).

(2)

Section 45D(1)(a) was amended by S.I. 2015/60.

(3)

Section 45D(4) was amended by paragraph 14 of Schedule 11 to the Finance Act 2009 (c.10) and S.I. 2015/60; there are other amendments to section 45D not relevant to this Order.

(4)

Section 104AA(4) was amended by section 68(3) of the Finance Act 2013 (c.29).

Back to top

Options/Help

Print Options

Close

Legislation is available in different versions:

Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.

Original (As Enacted or Made):The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.

Close

Opening Options

Different options to open legislation in order to view more content on screen at once

Close

Explanatory Memorandum

Explanatory Memorandum sets out a brief statement of the purpose of a Statutory Instrument and provides information about its policy objective and policy implications. They aim to make the Statutory Instrument accessible to readers who are not legally qualified and accompany any Statutory Instrument or Draft Statutory Instrument laid before Parliament from June 2004 onwards.

Close

More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources
Close

More Resources

Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as made version that was used for the print copy
  • correction slips

Click 'View More' or select 'More Resources' tab for additional information including:

  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • links to related legislation and further information resources