Chapter 8 - Capital Allowances

Question 1

What are the four things that do not qualify for AIA or FYA on the proforma?

Answer 1

-Second hand low emission cars (up to 50g/km)
-Cars (51-110g/km)
-Cars (over 110g/km)
Car with private use

Question 2

What are the additions qualifying for FYA?

Answer 2

-New low emission cars (up to 50g/km)

Question 3

What are the additions qualifying for AIA?

Answer 3

• Special rates pool expenditure (except for cars)
• Plant and machinery in main pool
• Short Life assets
• Private use assets

Question 4

In which pool do cars with less than or equal to 110g/km go?

Answer 4

General/Main pool

Question 5

In which pool do cars with more than 110g/km go?

Answer 5

Special rate pool

Question 6

What is the WDA of the General/Main pool?

Answer 6

18%

Question 7

What is the WDA of the Special rates pool?

Answer 7

6%

Question 8

The personal use asset can be 6% or 18% depending on what?

Answer 8

CO2

Question 9

What are the additions qualifying for AIA that go in the special rates pool?

Answer 9

Integral features

Question 10

For disposals we take the lower of…

Answer 10

Cost or sales proceeds

Question 11

What element of the personal use column is allowed in the Capital allowances column?

Answer 11

The business use element