| Depreciation ? New Terminology |
| Recent rewrites of tax legislation have changed the names used for tax claims previously known as depreciation. |
The depreciation provisions were abolished and a uniform capital allowances division introduced. Examples of the new terms are:-
| Old Terminology
| New Terminology)
| | Depreciation
| ?decline in value? (40-25)
| Cost
| ?first element and second element of Cost? (40-180(1)(b) and 40-90(1))
| Change in ownership
| ?balancing adjustment event? (40-295)
| Income producing use
| ?taxable purposes? (40-25(7))
| Luxury car limit
| ?car limit? (40-230)
| Own
| ?hold? (40-40)
| Plant
| ?depreciating asset? (40-30)
| Sale proceeds
| ?termination value? (40-300)
| Written down value
| ?adjustable value? (40-85)
| | | | | | | | |
The numbers in brackets are the section references for the technically minded.
7th-May-2004 |
