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Part 10 Assured tenancy allowances

Chapter 5 Writing-down allowances

Entitlement to and calculation of writing-down allowances

509 Calculation of allowance after sale of relevant interest

1

This section applies if—

a

the relevant interest in a qualifying dwelling-house is sold, and

b

a balancing adjustment falls to be made under section 513 as a result of the sale.

2

If this section applies, the writing-down allowance for any chargeable period ending after the sale is—

RQExABmath

where—

RQE is the amount of the residue of qualifying expenditure attributable to the dwelling-house immediately after the sale,

A is the length of the chargeable period, and

B is the length of the period from the date of the sale to the end of the period of 25 years beginning with the day on which the dwelling-house was first used.

3

On any later such sale, the writing-down allowance is further adjusted in accordance with this section.