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Part 8 Patent allowances

Chapter 3 Allowances and charges

472 Amount of allowances and charges

1

The amount of the writing-down allowance to which a person is entitled for a chargeable period is 25% of the amount by which AQE exceeds TDR.

2

If the chargeable period is more or less than a year, the amount is proportionately increased or reduced.

3

If in the case of qualifying trade expenditure the trade has been carried on for part only of the chargeable period, the amount is proportionately reduced.

4

A person claiming a writing-down allowance may require the allowance to be reduced to a specified amount.

5

The amount of the balancing charge to which a person is liable for a chargeable period is the amount by which TDR exceeds AQE.

6

The amount of the balancing allowance to which a person is entitled for the final chargeable period is the amount by which AQE exceeds TDR.