Chapter 6 - 3.1 - Private Use Assets

Question 1

What special rules apply to the calculation of capital allowances where the owner of the business (not an employee) has private use of the asset?

Answer 1

• In the pro forma, set up a separate column for each private use asset
• Calculate allowances as normal but only claim the business proportion

Question 2

If an ICAEW member is helping a client with a capital allowances computation, what do they need to ensure?

Answer 2

That the business proportion claimed is not exaggerated