Part 7Income charged under this Act: rent-a-room and qualifying care relief

Chapter 2qualifying care relief

Capital allowances for foster carers carrying on trade

824Capital allowances: introduction

(1)

In this group of sections (that is, this section and sections 825 to 827) an individual is a “relevant individual” if in a tax year—

(a)

the full F1qualifying care relief in section 813 or 822 (trading income), or

(b)

the alternative method of calculating profits under section 816 or 823 (trading income),

applies to the individual for the tax year.

(2)

In this group of sections a period is a “relevant chargeable period” of a relevant individual if—

(a)

it is a chargeable period of the individual, and

(b)

it corresponds to the income period for the individual's F2qualifying care receipts in the tax year for which the individual is a relevant individual.

F3(2A)

In this group of sections, in relation to a relevant individual—

(a)

“the care business” means the provision of qualifying care by the individual,

(b)

“care business expenditure” means qualifying expenditure incurred on the provision of plant or machinery wholly or partly for the care business,

(c)

“care business pool” means a pool of care business expenditure (even if the balance for the time being is nil), and

(d)

a reference to “another activity” is to a qualifying activity carried on by the individual other than the care business.

(2B)

In this group of sections, plant or machinery is referred to as being “in” a pool if qualifying expenditure incurred on its provision has been allocated at any time to that pool.

(3)

Expressions—

(a)

which are used in CAA 2001 and in this group of sections, but

(b)

which are not otherwise defined in this Chapter,

have the same meaning in this group of sections as in CAA 2001.