PART 2A

STRUCTURES AND BUILDINGS ALLOWANCES
CHAPTER 2

QUALIFYING EXPENDITURE

Qualifying expenditure incurred on purchase

Sale by a developer: unused buildings or structures
270BD
1
This section applies if—
a
expenditure is incurred by a developer on the construction of a building or structure, and
b
the relevant interest in the building or structure is sold by the developer in the course of the development trade before the building or structure is first used.
2
If—
a
the sale of the relevant interest by the developer was the only sale of that interest before the building or structure is first used, and
b
a capital sum is paid by the purchaser for the relevant interest,
the capital sum is qualifying capital expenditure.
3
If—
a
the sale by the developer was not the only sale before the building or structure is first used, and
b
a capital sum is paid by the purchaser for the relevant interest on the last sale before the building or structure is first used,
the lesser of that capital sum and the sum paid for the relevant interest on its sale by the developer is qualifying capital expenditure.
4
Where this section applies, the qualifying expenditure is to be treated as incurred by the purchaser when the capital sum referred to in subsection (2)(b) or (3)(b) is paid.
S. 45H(2) modified (with effect in accordance with s. 167 of the amending Act) by Finance Act 2003 (c. 14) , Sch. 30 para. 7
Pt. 2A inserted (5.7.2019) by The Capital Allowances (Structures and Buildings Allowances) Regulations 2019 (S.I. 2019/1087), regs. 1, 2