Re-financing of Asset
A client has re-financed a commercial vehicle to raise working capital by replacing one HP agreement with a new one. The finance company is the same.
Generally, we would simply deal with the finance agreement - the original one being repaid and the new one replacing it. Much like a new loan.
However, for some reason the finance company has arranged that our client raises a Vat invoice to them. Then the client received a Vat invoice to re-purchase.
Therefore we have to account for the asset disposal and addition. I assume that if we treat the asset as a disposal at the invoice value, can we claim AIA on the addition?
Thank you for any clarification.
- Distance between Postcodes in Excel 536 11
- Playstation 4 - Allowable expense or not? 3,142 62
- Employer pension contribution as part of redundancy package 97 3
- Incorrect Generic non-filing notice 237 9
- Am i Liable? 723 19
- Joint Filing Help 155 3
- Missed Student Loan Contributions 220 8
- audit for 50% associate? 83 2
- Contingent Asset Disclosure 90 5
- Write off of former director's loan 792 12
- HMRC Appeals 107 1
- RTI 329 11
- Has anyone been told of the extra Sage Payroll fees for auto enrolment? 401 8
- What is wrong with HMRC? 229 2
- ICAEW student, Dilema with client & boss 2,504 33
- Compensation payment and child benefit 94 2
- What leverage do I have with accountants if any? 275 2
- Accommodation allowance - emergency workers 90 1
- HMRC - Generic Notification Notice 131 1
- RTI Easement Until 2016 146 2
- Desperately seeking Susan, Sam or anyone with any other name 1,274
- Experience with Islamic investor following Sharia-compliant rules? 626
- Darwinpay Partnership Assessment 414
- S464A Charge to tax: conferring benefit & BIK 324
- Quirky thread of the year: Community Awards 238
- Alphabet shares 209
- Agent fees to sell business 202
- ACCA continuity of practice arrangement needed 199
- Office recharges 159
- Tax position on lease extension 154