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FYA vs AIA

Do apportion FYA for accounting period that straddles 1 April 2008? I have looked on Hmrc's website for guidance on how to treat this but have had no luck.
Sandra Blakes

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By MBK
16th Jul 2008 13:59

No apportionment
If the expenditure was incurred before 1st April / 6th April you can claim FYA as normal.

If the expenditure was incurred on or after 1st April / 6th April then no FYA is available but it is eligible for AIA. However, the AIA available in the straddling period is reduced pro rata to the time in the accounting period after the change. So if y/e is 30th April the maximum AIA will be 1/12th x £50,000.

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