It's never been the same since the value pricing genius from Cornwall (the one that had multiple company failures) stopped winding people up. I doubt many others would have the ability to generate 100 posts from one thread. It didn't contribute much to CPD but it was hilarious reading his defence of the indefensible.
Ah, Bob Harper.
You must admit, we do miss him.
It must be the weekend.
Agree with Tim. You can possibly compare the situation with a general provision for bad debts (not allowable) although I haven't seen one of these since study days a long time ago.
"Fully depreciated" means it's got **** all value in the balance sheet. "Disposed of" means sold, scrapped, thrown away. Ergo the sale proceeds are a profit on sale. I'm amazed that such simple concepts have kept me in a job for so long.
Can't see a problem apart from the fact that the £140 probably should have been shown under self-employment in the first place (less the allowance). I virtually insist that all self-employed clients with very low profits pay the class 2 contribution voluntarily simply to tick off another year of their state pension. I can't think of a better deal than to buy a year's state pension entitlement for £148.
Or Absolute Tax - you'd need to buy a minimum of 5 returns at £5 plus VAT each.
Agree with jcace. The only tax planning available is to either claim partial AIAs (and carry forward the unused bit for WDA use) or reduce your WDA claim to suit. I don't think you can rewrite history by changing a date of disposal. So yes it's an unfortunate combination of circumstances as far as CAs are concerned.
Quite scary that a manager should employ this practice for 15 years i.e. effectively evading national insurance contributions on the salary (as jcace has already observed).