Negative Capital Allowance

Year 1 - Purchase low emissions car for £13500 with 100% FYA. Claim £13500 CA with no other assets in pool. Balance is nil.

Year 3 - Sell car for £9000. Balance in pool is -£9000.

I understand that small balances in pool can be written off, but what about a negative balance? Is the £9000 written off or is it added to trading profits?

Comments
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Balancing Charge

Mr_Flibble2 |

Good grief ...

Old Greying Accountant |
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.

blok |
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follow the epsilons!

Old Greying Accountant |
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Deeply embarassed!

The Adding Machine |

No apology

thisistibi |
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Agree with Thisistibi, but ...

Old Greying Accountant |
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tax position

The Adding Machine |

Tax comp

Monsoon |
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Not as such ...

Old Greying Accountant |
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You've got to get up early...

Monsoon |
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I'm OK ...

Old Greying Accountant |
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Thanks. The world makes sense

The Adding Machine |

OGA

Monsoon |
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"Good grief Rickenbacker!"

Bob Long |

rickenbacker!

two sheds |
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