Capital Allowance on cars-Residual Value

Is this carried forward

Didn't find your answer?

It is my understanding that residual values are carried forward for WDA against future years. For example car worth £3000(C02 135) sold for £1000, balance £2000. Post 2009 I assume balancing allowance cannot now be claimed but must be carried forward, or maybe just written off, and what if the C02 is different from the car sold, in this case 120. If carrying forward this would take ages to clear down given the current rates for cars.

 

 

Replies (9)

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By Tim Vane
26th Apr 2019 14:22

Yup.

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RLI
By lionofludesch
26th Apr 2019 14:42

Not sure how small pools (<£1000) are affected.

It hasn't happened to any of my clients yet but I believe you get the relief. I can't find any provision to disapply the relief.

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By Vaughan Blake1
26th Apr 2019 15:01

Unless it is an unincorporated business, and the car has some private use. In which case it sits in a pool of its own, so that a disposal will trigger a balancing allowance.

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Replying to Vaughan Blake1:
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By TonyUK
26th Apr 2019 16:58

Its a self employed business, so I can claim £2000 balancing allowance?

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Replying to TonyUK:
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By lionofludesch
26th Apr 2019 17:02

Dunno - is it in a single asset pool ?

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Replying to lionofludesch:
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By TonyUK
26th Apr 2019 17:20

lionofludesch wrote:

Dunno - is it in a single asset pool ?

Yes, 80% Business Use

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Replying to TonyUK:
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By lionofludesch
26th Apr 2019 17:29

tony lecart wrote:

lionofludesch wrote:

Dunno - is it in a single asset pool ?

Yes, 80% Business Use

Then you're grand. Balancing allowance with 20% disallowance.

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Replying to lionofludesch:
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By TonyUK
26th Apr 2019 17:58

lionofludesch wrote:

tony lecart wrote:

lionofludesch wrote:

Dunno - is it in a single asset pool ?

Yes, 80% Business Use

Then you're grand. Balancing allowance with 20% disallowance.

Great, thanks.

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Replying to TonyUK:
By Duggimon
29th Apr 2019 09:35

.

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