The Chapter establishes adjustment periods for capital goods: 10 intervals for refurbishments, 20 in other cases, and for certain goods the number equals the full intervals remaining plus one as calculated under subsection (6)(b). The adjustment period ends on supply or transfer under section 20(2)(c). At the end of the initial interval an owner must compute A−B (total tax deductible per Chapter 1 minus the total reviewed deductible amount) and either pay or increase deductions accordingly; if unused, initial proportion equals the Chapter 1 deductible proportion. For subsequent intervals owners compute C−D, with non‑use treated as previous interval proportion; a change exceeding 50 percentage points triggers (C−D)×N with N equal to remaining full intervals plus one, subject to exclusions.

Termination or exercise of a landlord’s option to tax is treated as a deemed supply and simultaneous acquisition with specified tax treatments and use of subsection (6) calculations. Supplies or transfers during the adjustment period give rise to relevant amounts (formulas using E, B, N, T, F, G, H, K, L etc.) that increase deductions or create tax liabilities; partial transfers are adjusted on a fair and reasonable basis. Tenants assigning interests calculate and pay amounts unless obligations and the capital good record are transferred to the assignee. Connected supplies are subject to an adjustment amount (H×(N/T)) and may be avoided where purchaser assumes obligations and receives the capital good record. Acquisition by transfer to which section 20(2)(c) applies is treated as if a Chapter 1 deduction had been claimed; successors who receive a capital good record assume obligations. Destruction of a capital good ends further adjustments. Owners must create and maintain a capital good record sufficient to determine adjustments. Mortgagees or receivers who take possession (or from specified dates) are treated as capital goods owners for the remainder of the adjustment period, must receive and later return the capital good record, and liabilities or entitlements for intervals partly occupied are apportioned by day; the Revenue Commissioners may make regulations for interval duration where accounting years change.