Part 2

Plant and machinery allowances
Chapter 3

Qualifying expenditure

Expenditure on thermal insulation, safety measures, etc.

Personal security
33
1
This section applies to expenditure if—
a
it is incurred by an individual or partnership of individuals in connection with the provision for, or for use by, the individual, or any of the individuals, of a security asset,
b
the individual or partnership is carrying on a relevant qualifying activity, and
c
the special threat conditions are met.
2
The special threat conditions are that—
a
the asset is provided or used to meet a threat which—
i
is a special threat to the individual’s personal physical security, and
ii
arises wholly or mainly because of the relevant qualifying activity, and
b
the person incurring the expenditure—
i
has the sole object of meeting that threat in incurring that expenditure, and
ii
intends the asset to be used solely to improve personal physical security.
3
If—
a
the person incurring the expenditure intends the asset to be used solely to improve personal physical security, but
b
there is another use which is incidental to improving personal physical security,
that other use is ignored for the purposes of this section.
4
The fact that an asset improves the personal physical security of any member of the family or household of the individual concerned, as well as that of the individual, does not prevent this section from applying.
5
If—
a
the asset is not intended to be used solely to improve personal physical security, but the expenditure incurred on it would otherwise be expenditure to which this section applies, and
b
the person incurring the expenditure intends the asset to be used partly to improve personal physical security,
this section applies only to the proportion of the expenditure attributable to the intended use to improve personal physical security.
6
In this section “security asset” means an asset which improves personal security; and here “asset”—
a
does not include—
i
a car, ship or aircraft, or
ii
a dwelling or grounds appurtenant to a dwelling, but
b
subject to paragraph (a), includes equipment, a structure (such as a wall) and an asset which becomes fixed to land.
7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8
In this section “relevant qualifying activity” means a qualifying activity consisting of—
a
a trade,
b
an ordinary UK property business,
c
a UK furnished holiday lettings business,
d
an ordinary overseas property business, ...
da
an
EEA
furnished holiday lettings business, or
e
a profession or vocation.
Pt. 2 modified (24.2.2003) by Proceeds of Crime Act 2002 (c. 29), s. 458(1), Sch. 10 para. 12 (with Sch. 10 para. 17(1)); S.I. 2003/120, art. 2, Sch. (with arts. 3 4) (as amended (20.2.2003) by S.I. 2003/333, art. 14)
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. 2 restricted (5.10.2004) by Energy Act 2004 (c. 20) , s. 198(2) , Sch. 4 para. 4 ; S.I. 2004/2575 , art. 2(1) , Sch. 1
Pt. 2 modified (5.10.2004) by Energy Act 2004 (c. 20) , s. 198(2) , Sch. 9 paras. 9(2), 21(2) (with s. 38(2)); S.I. 2004/2575, art. 2(1) , Sch. 1
Pt. 2 restricted (5.10.2004) by Energy Act 2004 (c. 20) , s. 198(2) , Sch. 9 paras. 10, 22 (with s. 38(2) ); S.I. 2004/2575 , art. 2(1) , Sch. 1
Word in s. 33(8)(b) substituted (6.4.2005) by Income Tax (Trading and Other Income) Act 2005 (c. 5) , s. 883(1) , Sch. 1 para. 532 (with Sch. 2 )
Pt. 2 modified (22.7.2008) by Crossrail Act 2008 (c. 18), Sch. 13 para. 19
Pt. 2 modified (22.7.2008) by Crossrail Act 2008 (c. 18), Sch. 13 para. 35
Pt. 2 modified (22.7.2008) by Crossrail Act 2008 (c. 18), Sch. 13 paras. 36, 37
Pt. 2 modified (21.7.2009) by Finance Act 2009 (c. 10), s. 24
S. 33(7) omitted (with effect in accordance with Sch. 11 paras. 26, 27, 28(1) to the amending Act) by virtue of Finance Act 2009 (c. 10), Sch. 11 para. 13 (with Sch. 11 paras. 30-32)
Word in s. 33(8)(b) inserted (with effect in accordance with Sch. 14 para. 13 of the amending Act) by Finance Act 2011 (c. 11), Sch. 14 para. 12(8)(a)
S. 33(8)(da) inserted (with effect in accordance with Sch. 14 para. 13 of the amending Act) by Finance Act 2011 (c. 11), Sch. 14 para. 12(8)(d)
Words in s. 33(8)(c) substituted (with effect in accordance with Sch. 14 para. 13 of the amending Act) by Finance Act 2011 (c. 11), Sch. 14 para. 12(8)(b)
Words in s. 33(8)(d) substituted (with effect in accordance with Sch. 14 para. 13 of the amending Act) by Finance Act 2011 (c. 11), Sch. 14 para. 12(8)(c)
Word in s. 33(8)(d) omitted (with effect in accordance with Sch. 14 para. 13 of the amending Act) by virtue of Finance Act 2011 (c. 11), Sch. 14 para. 12(8)(d)