Forum Message

Tax computation for computer equipment bought 3 years ago

Hi,

I have a question related to tax computation which needed for CT600.
I used to calculate as follows:

use allowance of 20% on the computer equipment value which was brought forwarded from the previous year (= box 107 io CT600).

And, the business made loss for both previous and this year, so what i did is:

Loss per accounts + this year's depreciation + allowance on computer equipment was B/F from the prev. year (@20%) = the value goes to box 122 on CT600.

Please let me know if the above calculation is ok.
But i have heard that things changed, and maybe no allowance can be applied in this case as the asset was bought 3 yrs ago.
Can i still add back this year's depreciation to the loss made this year?

Thank you in advance.


Posted by Maiko Curry on Aug 4, 2010 9:14 AM BST

Hello Maiko,

I'm afraid we (Solar Accounts) are not experts in tax rules so we cannot answer your question. I recommend you to talk to your accountant or local tax office to get advice on the rules regarding capital allowances in your case.

Regards,


Posted by Mark McLaren (Solar Accounts) on Aug 4, 2010 9:26 AM BST