• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

June 2025 ACCA Exams

How was your exam? Comments & Instant poll >>

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

Roll over relief

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › Roll over relief

  • This topic has 2 replies, 2 voices, and was last updated 9 years ago by Adam.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • June 5, 2016 at 12:57 pm #319598
    Adam
    Member
    • Topics: 12
    • Replies: 15
    • ☆

    How is roll over relief dealt with when asset sold is only partially used for trade? ordinarily If there is a 100k sale of an asset that had an index cost 50k there will be a 50k gain. If a replacement asset is then purchased for 100 or more the full amount is rolled over.

    If only 75k was spend on a replacement asset there would be 25 immediate gain and 25k roles over.

    If 50k spent on new asset then full gains realised.

    However if it was only used for trade for half it’s ownership, the maximum that can be roles over is 25k.

    How much does the new asset need to cost to cover max relief.

    Is it 75k as that would cover enough of sale as 25k can’t be rolled over anyway, or is it only 50k as the trade element and non trade element are treated.differently with the trade aspect ignored for the roll over calc. meaning the revenue is 50k and gain 25k.

    Hope that it clear? I am taking p6 not f6 but not forum for that.

    Thanks in advance

    June 6, 2016 at 2:34 am #319710
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    The sale proceeds relating to the trade use is 50% x 100K = 50K.
    This is the amount that must then be reinvested to allow the 25K to be deferred
    Good luck with your P6 exam

    June 6, 2016 at 11:49 am #319828
    Adam
    Member
    • Topics: 12
    • Replies: 15
    • ☆

    Thanks.

  • Author
    Posts
Viewing 3 posts - 1 through 3 (of 3 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • EricObi on IAS 37 – Best estimate – ACCA Financial Reporting (FR)
  • Ken Garrett on The nature and structure of organisations – ACCA Paper BT
  • John Moffat on MA Chapter 4 Questions Cost Classification and Behaviour
  • maryrena77 on The nature and structure of organisations – ACCA Paper BT
  • vi234 on MA Chapter 4 Questions Cost Classification and Behaviour

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in