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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › question

  • This topic has 1 reply, 2 voices, and was last updated 3 years ago by Tax Tutor.
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  • June 3, 2022 at 7:33 am #657187
    xyzc
    Participant
    • Topics: 413
    • Replies: 175
    • ☆☆☆☆

    Until january 2022 the company has never been entitled to capital allowances as all assets were leased. On 15 january 2022 the compay bought office equipment for 50000 and a car with CO2 emissions of 42 grams per kilometre for 7500.
    In the above question the annual investment allowance has been claimed instead of the 130% first year allowance for office equipment. Why is this so

    June 3, 2022 at 10:35 am #657227
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    As it is a company the 130% allowance should be given unless it was 2nd hand office equipment purchased

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