Hi,
If somebody makes their accounts up to 31st March each year and purchases a high emission car in October with a subsequent sale in February - do they qualify for a capital allowance?
Thanks.
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ATXCapital Allowances
complicated question. where you found this, could you name the question in kit?
according to kaplan text
high emission cars >130g/km goes into special rate pool WDA 8% for 12 months.
(page# 574 kaplan text)
but according to Kaplan text FA2004 paper 2.3 pg#34
"the owner ship of an asset on last day of accounting period that qualifies for allowance"
According to this, the car would not exist on last day of period thus no allowance??
Any more knowledgeable person out there?
If i am not wrong then 7 months capital allowance at the rate of 8% will allowable for capital allowance.
No Capital allowances.
Just include the asset as an addition, then disposal. This will leave either a balancing allowance or a balancing charge
Yes I agree
@golamrahim said: No Capital allowances. Just include the asset as an addition, then disposal. This will leave either a balancing allowance or a balancing charge
hey
there won't be any capital allowances, as they are selling the asset in year of purchase, hence only a balancing allowance or balancing charge will be available.
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