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In revision I found one question with a 2500 computer being depooled as a short life asset and then right after , the next question had an 1100 computer that was carried through the AIA with all the other addition and not depoloed.
Q: Hw do I know when to depool or will the examiner say because neither of these questions did. Is it one of those things where the student chooses the treatment based on good tax planning and if so what are the guidelines for that?
Short life assets are assets with a useful life of less than 8 years. I assume the first computer in your example for £2,500 was such an asset and the other was not.
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H is right
What H has said is correct.
But it is now said there won’t be any reason to elect for SLA as from FA2013, the AIA was increased to £250,000 (from £25,000), therefore most likely, all assets purchased within that year would fall within that amount.Only choose to elect to use SLA when you have used up the full AIA for that year.
Although I think its very unlikely new assets will amount to more than £250,000 in the exam.
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