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Does all capital expenditure qualify for capital allowances?

Not all capital expenditure qualifies for capital allowances. The general rule is that the asset must be owned by the company/individual claiming capital allowances. Expenditure on the installation of plant and machinery and demolition costs of a property which is held as a fixed asset (not trading stock) will qualify for capital allowances.


However, please be aware that expenditure on hire purchases, finance leases and cars have a different set of capital allowances rules.

Does all capital expenditure qualify for capital allowances?: FAQ
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