Part 2

Plant and machinery allowances
Chapter 9

Short-life assets

Election for short-life asset treatment: procedure
85
1
An election under section 83 must specify—
a
the plant or machinery which is the subject of the election,
b
the qualifying expenditure incurred in respect of it, and
c
the date on which the expenditure was incurred.
2
An election under section 83 must be made by notice given to the Inland Revenue—
a
for income tax purposes, on or before the normal time limit for amending a tax return for the tax year in which the relevant chargeable period ends;
b
for corporation tax purposes, no later than 2 years after the end of the relevant chargeable period.
3
“The relevant chargeable period” means—
a
the chargeable period in which the qualifying expenditure was incurred, or
b
if the qualifying expenditure was incurred in different chargeable periods, the first chargeable period in which any of the qualifying expenditure was incurred.
4
An election under section 83 is irrevocable.
5
All such assessments and adjustments of assessments are to be made as are necessary to give effect to the election.