Capital Allowances

SarahJS

I've got a few queries relating to CA's in 'real life' and I'd appreciate some replies about how you do things. I understand the theoretical calculations but I am curious as to how strictly these are applied.

First of all, if an accounting period is less/more than 12 months how do you time apportion the AIA/WDA rates? Same goes for apportioning for the change in rates.

Do you do it on a daily basis or to the nearest month etc?

Would doing it to the nearest mnth ever cause issues with HMRC?

Dcollins

Either daily or monthly is acceptable. Must be monthly if the accounting period is full months, otherwise a daily calculation is required.