Business Taxation - WDA

Pigpen

If you have a car in a seperate pool (cos it has private owners use) with a written down value of £600 then you sell it for £920.00 (orig purch price £1896.00) - This gives you a negative balance on that car of (£320.00) - What do you do with this at the year end and I guess no WDA is calculated as it would be a negative? - I am confused can someone help?

popcornlpw

at the end of the year u just put balace charges in the Car colum to make it to NIL
and the allowance colum you write exactly same figures but it negetive.

Hope it help

AdamR

Remember to take the balancing charge of £320 and work out the private proportion on it as this should be deducted, the same as if it was a balancing allowance.