Dredging: Qualifying trades
CAA01/S484 (2), FA08/Schedule 27/Part 2/Para 34
The definition of qualifying trade for dredging is wider than the definition of qualifying trade for IBA. For dredging, a qualifying trade is a trade or undertaking all or part of which satisfies one of these conditions:
a. the trade consists of the maintenance or improvement of the navigation of a harbour, estuary or waterway;
b. the trade is a qualifying trade for IBA CA32200.
FA08 abolished IBA from 1 April 2011 (CT) / 6 April 2011 (IT). The IBA legislation about the definition of qualifying trade, parts of trades and the meaning of a highway concession continues to have effect after its repeal for the purposes of the dredging legislation.
You may have a case where part of a trade satisfies the conditions for being a qualifying trade and part does not. In a case where expenditure is incurred partly for the purposes of a qualifying trade and partly for other purposes you need to apportion the expenditure. Treat the part of the trade that satisfies the conditions for being a qualifying trade as a separate trade for the purposes of making the apportionment CA80500.