I registered as self employed to run a small photography business and have claimed annual investment allowance in the last two years for equipment purchases totalling around 7k.
What is the situation with this when I cease trade? I believe that if I sell the equipment then any sale proceeds will count as trading profit on my SA and therefore essentially what's happened is I've received tax relief on the depreciation, is that correct?
What if I keep any of the equipment, how do I treat that for SA purposes? Do I act as if I'd received market value for the assets, thus creating the same situation as if I'd sold them to another party?
Also do I need to tell HMRC as soon as I cease to trade, or at the next SA submission?