Repairs allowed as deduction only if asset put to use

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This discussion explores whether repair costs for plant and machinery can be claimed as a tax deduction in the UK, even if the asset hasn't been actively used. It clarifies that repairs are generally deductible if the asset is 'ready for its intended use', similar to rules for depreciation. This includes situations of passive or irregular use, meaning you can claim deductions for repairs even if the machinery isn't in operation during the tax year.

Shambhavi Sabarish

Shambhavi Sabarish (Querist)
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02 December 2023 Just as u/s 32 where "use" could mean actual use or ready for intended use, even in the case u/s 31 for repairs of plant and machinery does the word "use" have the same two meanings as given for depreciation?

In such case if I have a plant and machinery ready for its intended use but I have not actually used it in the year even for a single day, then can I claim any repairs incurred on it as deduction in such previous year, by considering it as passive use?

Does passive use always mean "ready for intended use" or does it also mean irregular use?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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03 December 2023 You can claim any repairs incurred on it as deduction in such previous year, by considering it as ready for use.
Repair expenses can be claimed as deduction whether the machinary is put to use or not after repair.

Shambhavi Sabarish

Shambhavi Sabarish (Querist)
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03 December 2023 Thank you very much sir.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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03 December 2023 You are welcome...
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