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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › Chapter 5 :Capital Allowance: Example 6
Sir, why thermal insulation of business building is directly added to allowances i.e 28000
why not in special rate pool and then take 8% of the amount and then added to allowance?
i,m confuse kindly explain this point to me.
I shall be very thankful to u..
Regards
Ghulam Ghous
Thermal insulation is indeed special rate pool expenditure rather than main pool expenditure, but it is expenditure that ranks for AIA and earlier in the chapter it clearly states that AIA should be given FIRSTLY to special rate pool expenditure ahead of main pool expenditure.