Non-Pool Assets (1)

Question 1

When are assets not in special or main pool?

Answer 1

Assets with private use by owner
Short life assets which taxpayer has made a depooling election

Question 2

When an asset is used by the owner of the business?

Answer 2

Only the business proportion of available capital allowances is given

Question 3

Rule of capital allowances based on cost?

Answer 3

Cost must be in its own separate column

Question 4

Rule of capital allowances based on WDA?

Answer 4

Calculated on its full cost but only business proportion of any allowance is given

Question 5

Rule of capital allowances based on disposal of the asset?

Answer 5

TWDV - Sale proceeds = Balancing adjustment

Question 6

What happens to the balancing allowance?

Answer 6

It reduces the capital allowance

Question 7

What happens when balancing charge exceeds allowances available?

Answer 7

Net balancing charge added to the adjusted trading profit

Question 8

Result of private use by an employee of an asset owned by the business?

Answer 8

No effect of business’ entitlement to capital allowances

Question 9

What instead happens when an employee uses an asset owned by the business?

Answer 9

An employment income assessment