Part 9

Dredging allowances

Qualifying expenditure on dredging, etc.

Qualifying expenditure
485
1
Expenditure on dredging is qualifying expenditure if—
a
it is capital expenditure,
b
it is incurred for the purposes of a qualifying trade by the person carrying on the trade, and
c
if the person does not carry on a qualifying trade within section 484(2)(a), the dredging is for the benefit of vessels coming to, leaving or using a dock or other premises occupied by the person for the purposes of the qualifying trade.
2
If capital expenditure is incurred—
a
partly for the purposes of a qualifying trade, and
b
partly for other purposes,
the qualifying expenditure is the part of the capital expenditure that, on a just and reasonable apportionment, is referable to the purposes of the qualifying trade.
3
If part only of a trade or undertaking is within section 484(2), subsection (2) of this section applies as if—
a
the part which is within section 484(2), and
b
the part which is not,
were separate trades.
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