What are integral features for capital allowance purposes? What is the consequence of something being an integral feature? 

This a freeview 'At a glance' guide to integral features.

What is an integral feature?

Integral features are plant and machinery which are integral to a building.

Integral features come under the heading Plant and machinery but like Fixtures, have to be considered separately because they are subject to a set of different rules and Rates of capital allowances.

The integral features rules apply to expenditure incurred on or after 1 April 2008 (Corporation Tax)/ 6 April 2008 (Income Tax).

The following are integral features:

This list is exhaustive. 

Any asset whose principal purpose is to insulate or enclose the interior of a building or to provide an interior wall, floor or ceiling which is intended to remain permanently in place, will not count as an integral feature.

Special rate pool

Integral features are put into a special rate pool for capital allowance purposes.

The rate of capital allowances that apply depends on whether the expenditure is on new or unused assets, the date of purchase and the availability of the different allowances that are applicable.

Expenditure on new integral features will attract either:

If the AIA, SR allowance and 50% FYA are not available:

Expenditure on integral features

Examples

Example 1:

Polly would like to replace the electrical system in her seaside restaurant.

Example 2:

Integral Features and SDLT

See SDLT: Chattels & Fixtures

Small print and Links

Useful guides on this topic

Plant and machinery: Allowances
What are the capital allowances on plant and machinery? How do you calculate them? What are the qualifying activities?

Fixtures: Overview
What are fixtures? How do I claim lost or unclaimed fixtures? When must fixtures be pooled? What is the fixed value requirement?

Annual Investment Allowance
What is the Annual Investment Allowance? What are the limits? What expenditure qualifies?

Legislation

Capital Allowances Act 2001 s.33A and s.33B


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