380U Allowances in respect of certain buildings.

Where a person carrying on a relevant trade incurs expenditure (in this section referred to as “qualifying expenditure’) on a new installation which includes capital expenditure on the construction of a new building or structure which is to be an industrial building or structure to be occupied for the purposes of that trade, then the following provisions shall apply:

(a) section 271 shall apply as if—

(i) in subsection (1) of that section the definition of “industrial development agency’ were deleted,

(ii) in subsection (2)(a)(i) of that section “to which subsection (3) applies’ were deleted,

(iii) subsection (3) of that section were deleted,

(iv) the following subsection were substituted for subsection (4) of that section:

“(4) An industrial building allowance shall be of an amount equal to 100 per cent of the capital expenditure mentioned in subsection (2).’,

and

(v) in subsection (5) of that section “to which subsection (3)(c) applies’ were deleted,

and

(b) there shall be made to that person for the chargeable period related to the expenditure an allowance equal to 50 per cent of the qualifying expenditure in relation to that building or structure, and such allowance shall be made in taxing the relevant trade.