Looking for some advice re. a new client.
Client had been trading and bought a shop to carry on the trade. The trade ceased in 2010/11 and in 2011/12 the client started letting out the shop to a 3rd party.
The previous adviser did not write off the assets (no longer in shop as cleared out to let) and AIA never claimed. General and special rate pool allowances been taken since.
I'm sure P&M and F&F can still claim CAs if they were still in the shop however, should the integral features have been 'disposed' off at Market Value when trade ceased or are capital allowances still available?
Appreciate any help.
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Cessation
There are balancing adjustments on cessation of the trade as you disposed of moveable plant and machinery.
Fixtures become part of the property, they are therefore disposed of with an interest in the property, the disposal of the freehold is an outright sale and so the purchaser acquires the fixtures. The disposal of a lease may well provide that the lessee acquires certain fixtures for the term of the lease, you need to see what your lease says. The presumption is that the fixtures remain the freeholder's unless you have a different agreement. Quite a complex topic as it goes as you get considerable variations in practice.