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Tax saving on capital allowances

MAMr. Aboukar5y ago
Hi JOHN would like to ask a question about tax-allowable depreciation. when finding tax-allowable depreciation under straight line method, do we need balancing charge allowance at disposal year. if not why sir i confused how to deal straight line method. thanks in advance.
John MoffatJohn MoffatTutor5y ago#1
The balancing allowance or balancing charge is calculated in the same way regardless of whether the tax allowable depreciation is reducing balance or straight line. (Straight line is very unlikely in the exam because it does not happen in real life.)
MAMr. Aboukar5y ago#2
GOT IT thanks john
John MoffatJohn MoffatTutor5y ago#3
You are welcome :-)
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