Help needed re depreciation please!

Options
moz009
moz009 Registered Posts: 6 New contributor 🐸
in General accounting discussion
I apologise if I am posting in the wrong forum but I thought full members might be able to help me!

I have a friend who set up a business last year as a Sole Trader. Due to personal circumstances the business has now stopped trading. I am in my Technician year of AAT and am giving them some help with the accounts (or at least trying to!)

As it all happened within the same accounting and tax year, how is depreciation worked out? Or is it totally ignored as the business was trading for less than a year?

Any help would be much appreciated :001_smile:

Comments

  • T.C.
    T.C. Registered, Tutor Posts: 1,448 Beyond epic contributor 🧙‍♂️
    Options
    Would it really matter if you ignored the depreciation as this is disallowed at the Tax Return stage anyway?
  • Poodle
    Poodle Registered Posts: 711 Epic contributor 🐘
    Options
    Hi

    I agree with TC if it's a small sole trader then I would not bother, just make sure that you have got the open market values correct for CA's

    Poodle
  • moz009
    moz009 Registered Posts: 6 New contributor 🐸
    Options
    Thanks very much for the replies.

    I'll just ignore it then!.......

Categories

Privacy Policy