Part 2 Plant and machinery allowances
Chapter 12 Ships
Pooling and postponement of allowances
132 Disposal events and single ship pool
(1)
A person is required to bring a disposal value into account in a single ship pool if the ship—
(a)
is provided for leasing, and
(b)
begins to be used otherwise than for a qualifying purpose within the first 4 years of the designated period.
(2)
If any disposal event (including one under subsection (1)) occurs in relation to a single ship pool—
(a)
the available qualifying expenditure in the single ship pool is allocated, for the chargeable period in which the event occurs, to the appropriate non-ship pool,
(b)
the disposal value must be brought into account as a disposal value for that chargeable period in the appropriate non-ship pool, and
(c)
the single ship pool ends without a final chargeable period and without any liability to a balancing charge arising.
(3)
Subsections (1) and (2) apply even if, as a result of an election under section 129, some of the qualifying expenditure on the provision of the ship has been allocated to the appropriate non-ship pool.
(4)
In subsection (1) “leasing”, “qualifying purpose” and “designated period” have the same meaning as in Chapter 11 (overseas leasing).