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Annual allowances (industrial buildings or structures).
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25.—(1) Subject to the provisions of this Part of this Act, where—
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(a) any person is, at the end of his basis period for any year of assessment, entitled to an interest in a building or structure to which this section applies,
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(b) at the end of the said basis period, the building or structure is an industrial building or structure, and
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(e) that interest is the relevant interest in relation to the capital expenditure incurred on the construction of that building or structure,
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an allowance (in this Chapter referred to as an annual allowance) equal to one-fiftieth of that expenditure shall be made to him for that year of assessment.
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(2) A building or structure is one to which this section applies, if, and only if, the capital expenditure incurred on the construction of it has been incurred on or after the 30th day of September, 1956.
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(3) Where, at any time on or after the 15th day of April, 1959, the interest in a building or structure which is the relevant interest in relation to any expenditure is sold while the building or structure is an industrial building or structure, the annual allowance in respect of that expenditure shall, in the case of years of assessment the basis periods for which end after the time of that sale,—
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(a) be computed by reference to the residue (as defined in the provisions of this Chapter relating to the writing off of expenditure) of that expenditure immediately after the sale, and
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(b) be the fraction of the said residue the numerator of which is one and the denominator of which is the number of years of assessment comprised in the period which—
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(i) begins with the first year of assessment for which the buyer is entitled to an annual allowance in respect of the expenditure or would be so entitled if the building or structure had at all material times continued to be an industrial building or structure, and
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(ii) ends with the fiftieth year of assessment after that in which the building or structure was first used,
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and so on for any subsequent sales.
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(4) Notwithstanding anything in the preceding provisions of this section—
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(a) no annual allowance shall be made for a year of assessment beginning before the commencement of this Part of this Act, and
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(b) in no case shall the amount of an annual allowance made to a person for any year of assessment in respect of any expenditure exceed what, apart from the writing off falling to be made by reason of the making of that allowance, would be the residue of that expenditure at the end of his basis period for that year of assessment.
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