Section 101 — Corporation Tax Act 2010: Meaning of “capital allowance excess”

Meaning of “capital allowance excess” 101 1 In section 99(1)(b) “ capital allowance excess ” means an excess of the kind mentioned in section 260(1) of CAA 2001 for the surrender period.

2 In determining if there is such an excess for the surrender period and, if there is, its amount, apply section 260(1) of CAA 2001 but subject to subsections (3) and (4).

3 Capital allowances brought forward from previous accounting periods are to be ignored.

4 The reference in section 260(1) of CAA 2001 to a description of the company's income is to be read as a reference to that description of income before deductions for—

a losses of any accounting period other than the surrender period, or b capital allowances.