Finance Act, 1994
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Farming: allowances for capital expenditure on construction of buildings and other works. |
23.—(1) Section 22 of the Finance Act, 1974 , is hereby amended— | |
(a) by the substitution of the following subsection for subsection (2) and the proviso thereto: | ||
“(2) Where a person to whom this section applies incurs, for the purpose of a trade of farming land occupied by such person, any capital expenditure on the construction of farm buildings (excluding a building or part of a building used as a dwelling), fences, roadways, holding yards, drains or land reclamation or other works, there shall be made to such person during a writing-down period of seven years beginning with the chargeable period related to that expenditure, writing-down allowances (in this section referred to as ‘farm buildings allowances’) in respect of that expenditure and such allowances shall be made in taxing the trade: | ||
Provided that, as respects each of the first six years of the aforesaid writing-down period, the writing-down allowance to be made under this subsection shall be of an amount equal to 15 per cent. of the capital expenditure incurred as aforesaid and, as respects the last year of the said writing-down period, the writing-down allowance to be made under this subsection shall be of an amount equal to 10 per cent. of the said capital expenditure.”, | ||
(b) by the substitution of the following subsection for subsection (2A): | ||
“(2A) For the purposes of the application to this section of the provisions of paragraph 1 (2) of the First Schedule to the Corporation Tax Act, 1976 , ‘basis period’ has the meaning assigned to it by section 297 of the Income Tax Act, 1967 .”, | ||
and | ||
(c) by the deletion of subsection (2C). | ||
(2) The provisions of this section shall apply to and have effect in respect of capital expenditure incurred on or after the 27th day of January, 1994. |