The Finance Bill 2012 introduces a new provision that makes the availability of capital allowances conditional upon:
This requirement can be met by the seller and the buyer having agreed the sales value of those fixtures, or by making a joint election under section 198 of the Capital Allowances Act 2001
If the owner of a property has returned a specific disposal value for the fixtures and it is now too late to fix an apportionment , a written statement made by the purchaser form the past owner of the actual amount of the disposal value that he has brought into account should suffice.
There is an alternative method of fixing the value that applies only in cases where an intermediate owner or lessee, who was not entitled to claim an allowance, had failed to determine a fixtures apportionment with the past owner. It does this by introducing sections 187A and 187B into the Capital Allowances Act 2001.
The new provisions apply if:
Where a transaction, scheme or arrangement has an avoidance purpose, the buyer’s allowances are restricted to cancel the tax advantage.