Capital Allowances for Multi-storey Car Parks

Introduction

Section 35, Finance Act 1995, inserts a new section 41B into Chapter IV, Part I, Finance Act 1994, the 1994 Urban Renewal Reliefs. The new section 41B grants capital allowances on expenditure incurred on the construction orrefurbishment of certain “qualifying multi-storey car parks.” A number of enquiries have been received from practitioners on whether it is necessary that the car park be located in a designated area or street to qualify for relief under the section.

Revenue approach

Although the section is included with the legislation governing the 1994 Urban Renewal Relief, it does not require that the multi-storey car park be situated in a designated area or street. To be a qualifying multi-storey car park for the purposes of the section, the local authority in whose functional area the car park is situated must have certified in writing to the person providing it that it:

“has been developed in accordance with criteria laid down by the Minister for the Environment following consultation with the Minister for Finance”.

Any queries regarding these criteria should be addressed to:

Department of the Environment,
Urban & Rural Development Section,
Custom House,
Dublin 1.
Telephone: (01) 6793377
Fax: (01) 8748312