What are the issues where capital allowances have been claimed when disposing of property at a gain? Jackie Wheaton (Moore Stephens) reviews the key points.
Question
A client has asked the following queries regarding the sale of two properties:
Property 1: The company has made a claim for expenditure qualifying for capital allowances in respect of building refurbishment work carried out on the property. The property has been sold at a profit and an election has been made under CAA 2001 s 198 such that proceeds of £2 will be entered as disposal proceeds in the capital allowance pool. Does the expenditure qualifying for capital allowances qualify as an allowable capital cost of the property for the purpose of calculating the chargeable gain on the disposal of the property?
...
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What are the issues where capital allowances have been claimed when disposing of property at a gain? Jackie Wheaton (Moore Stephens) reviews the key points.
Question
A client has asked the following queries regarding the sale of two properties:
Property 1: The company has made a claim for expenditure qualifying for capital allowances in respect of building refurbishment work carried out on the property. The property has been sold at a profit and an election has been made under CAA 2001 s 198 such that proceeds of £2 will be entered as disposal proceeds in the capital allowance pool. Does the expenditure qualifying for capital allowances qualify as an allowable capital cost of the property for the purpose of calculating the chargeable gain on the disposal of the property?
...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
