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HMRC internal manual

Tonnage Tax Manual

Capital allowances: contents


This section details the capital allowance regime for tonnage tax companies. It explains the different treatment for assets acquired either before entry into tonnage tax or acquired during tonnage tax and how the disposal of these assets is treated. It also explains what happens when a company leaves tonnage tax.

  1. TTM09001
Entry into tonnage tax (P&M)
  1. TTM09010
    Tonnage tax pool ('frozen pool')
  2. TTM09020
    Unrelieved qualifying expenditure
  3. TTM09030
    Apportioning a mixed pool
  4. TTM09040
    Mixed use asset acquired before entry
  5. TTM09050
    Ships bought and sold within 12 months
During tonnage tax (P&M)
  1. TTM09100
    Mixed use asset acquired after entry
  2. TTM09110
    Change of use of tonnage tax asset - General
  3. TTM09120
    Change of use of tonnage tax asset acquired before entry
  4. TTM09130
    Change of use of tonnage tax asset acquired after entry
  5. TTM09140
    Change of use of non-Tonnage Tax asset
  6. TTM09150
    Disposals of plant and machinery
Balancing charges (P&M)
  1. TTM09200
    Deferment of balancing charges arising before entry
  2. TTM09210
    Reduction of balancing charges arising during tonnage tax
  3. TTM09220
    Giving effect to balancing charges arising during tonnage tax
  4. TTM09230
    Deferment of balancing charges arising after entry
  5. TTM09240
    Examples of deferred balancing charges
  6. TTM09250
    Procedure on deferred balancing charge
  7. TTM09260
    Surrender of unrelieved qualifying expenditure
Exit from tonnage tax (P&M)
  1. TTM09300
    Qualifying expenditure - General
  2. TTM09305
    Expiry of election or withdrawal notice
  3. TTM09310
    Assets other than expensive cars and long-life assets
  4. TTM09320
    Expensive cars
  5. TTM09330
    Long-life assets
  6. TTM09340
    Capital allowances after exiting from tonnage tax
Industrial buildings
  1. TTM09400
    Buildings used in tonnage tax trade
  2. TTM09410
    Balancing charges
  3. TTM09420
    Industrial building disposed of by tonnage tax company
  4. TTM09430
    Company with industrial building leaves tonnage tax