Capital Allowances Act 2001 section 124

Transport containers

Section 124 sets out the additional circumstances in which a transport container that is leased as part of a trade is treated as being used for a qualifying purpose.

• A transport container is used for a qualifying purpose when it is leased in the course of a trade by a person who is UK resident or carries on the trade in the UK
• One of two conditions must also be met for the qualifying purpose test to be satisfied
• The first condition requires that the person's trade includes operating ships or aircraft, and the container is also used by that person in connection with those operations
• The second condition requires that the container is leased under a succession of leases to different persons who are not connected with each other, or most of whom are not connected with each other