HMRC has just published R&C Brief 32/12 in which it updates its views on the eligibility of polytunnels for Plant & Machinery Allowances.

Until now, HMRC has considered that most polytunnels are either fixed structures or, in some situations, premises or setting. In either case, that would prevent them from qualifying as Plant for capital allowances purposes.

R&C Brief 32/12 announces a change in view that provides certain scenarios where polytunnels could be considered as plant. Essentially, this will be a question of fact and examples are provided in the Brief. HMRC’s internal guidance at CA22090 will be amended “with immediate effect” to reflect this change in view.