Q&As

How should I adapt your precedent ‘capital allowances clauses—property sale contract’ where the figure to be pooled by the seller and claimed by the buyer has been agreed in advance?

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Published on: 18 August 2017
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The ‘pooling requirement’ applies to buyers of second-hand fixtures where the seller (or the most recent previous owner that owned the fixtures for a period ending on or after April 2014) was entitled to claim allowances but has not done so. Where this applies, the buyer will only be able to claim allowances on the fixtures after the sale if they can persuade the seller (or any relevant previous owner) to pool the expenditure on the fixtures: effectively, go through most of the motions of claiming an allowance, including notifying HMRC in a tax return, but without actually making a claim.

Clause 5 of Precedent:

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