(1) For the purposes of this section “commercial building” means a building other than a building described in section 2 of the Tourism Incentives Act that is in use or is purchased, constructed, reconstructed, altered or adapted to be used for commercial purposes including use as offices or a warehouse or for any trade, but does not include a building let out as a dwelling-house.
(2) Despite the Income Tax Act where an approved developer has in an income year made a capital expenditure on a commercial building then in calculating the assessable income of that person for that income year—
(a) an amount may, at the option of that person be deducted as an initial allowance, equal to 20% of such capital expenditure; and
(b) there shall be deducted at the option of that person for that income year and any subsequent income year an annual allowance equal to 4% of such capital expenditure.