Finance Act, 1997
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Accelerated capital allowances in relation to construction or refurbishment of certain industrial buildings or structures. |
54.—(1) This section shall apply to a building or structure the site of which is wholly within a qualifying area and which is to be an industrial building or structure by reason of its use for a purpose specified in section 255 (1)(a) of the Income Tax Act, 1967 . | |
(2) Subject to subsection (4), section 254 of the Income Tax Act, 1967 , shall apply in relation to capital expenditure incurred in the qualifying period on the construction or refurbishment of a building or structure to which this section applies as if— | ||
(a) in paragraph (a) of subsection (2A) of the said section 254, the reference to “before the 1st day of April, 1991” (as provided for in section 50 of the Finance Act, 1988 ) were a reference to “before the 1st day of July, 2000”, | ||
(b) paragraph (aa) (inserted by section 74 of the Finance Act, 1990 ) and paragraph (b) of subsection (2A) of the said section 254 were deleted, and | ||
(c) subsection (2B) (inserted by the said section 74) of the said section 254 were deleted. | ||
(3) Subject to subsection (4), section 25 of the Finance Act, 1978 , shall apply in relation to capital expenditure incurred in the qualifying period on the construction or refurbishment of a building or structure to which this section applies as if— | ||
(a) paragraph (b) (as amended by section 76 of the Finance Act, 1990 ) of subsection (2) (inserted by section 48 of the Finance Act, 1988 ) of the said section 25 were deleted, and | ||
(b) subsection (2A) (including the proviso to that subsection) of that section were deleted. | ||
(4) In the case where capital expenditure is incurred in the qualifying period on the refurbishment of a building or structure to which this section applies, subsections (2) and (3) shall apply only if the total amount of the capital expenditure so incurred is not less than an amount which is equal to 10 per cent. of the market value of the building or structure immediately before that expenditure is incurred. | ||
(5) For the purposes only of determining, in relation to a claim for an allowance under section 254 of the Income Tax Act, 1967 , or section 25 of the Finance Act, 1978 , as applied by this section, whether and to what extent capital expenditure incurred on the construction or refurbishment of an industrial building or structure is incurred or not incurred in the qualifying period, only such an amount of that capital expenditure as is properly attributable to work on the construction or refurbishment of the building or structure actually carried out during the qualifying period shall, notwithstanding any other provision of the Tax Acts as to the time when any capital expenditure is or is to be treated as incurred, be treated as having been incurred in that period. |