Accelerated Capital Allowances

To access this screen select Edit, Deferred Tax, Accelerated Capital Allowances.

This screen is used to calculate the extent to which net book value of assets in Accounts Production exceed the WDV of assets in Business Tax or vice versa. An accelerated capital allowances report can then be produced to reflect the information entered in the screen.

The basic layout of the screen is shown below. Fields in bold italic are automatically completed by IRIS taking into account the data that has been entered into Accounts Production and Business Tax.    

 NBV of assets per Accounts.

• The NBV figures in the current and comparative year fields come over from Accounts Production automatically. The figure can be checked by viewing the 'tangible fixed assets schedule' in Accounts Production. The report can be produced by going into Reports > Annual and entering FIX as the Report / Document type.

• The figures that make up the NBV consist of postings made to accounts 500 to 577 on the standard IRIS chart and postings made to the sub accounts of 512 to 526 on the ELTD chart.

If you are using Business Tax without a licence for Accounts Production you will be able to access these fields.

Less NBV of non-qualifying assets.

Enter the Net Book Value of non-qualifying assets that have been included in the NBV of assets per accounts calculation.

Less revaluation adjustments.

Enter the revaluation adjustments included in the NBV. For example, if a property has increased in value by £15,000 in the current year, 15000 should be entered into the field.

Other adjustments.

Enter any other adjustments required.

NBV of qualifying assets.

Business Tax uses the figures entered to calculate the NBV of qualifying assets. The movement between the current year and the comparative year is shown in the right hand column of the screen.

WDV of qualifying assets.

The WDV of qualifying assets comes from the Capital Allowances section of Business Tax.

The comparative figure is the WDV brought forward that can be seen in the Edit | Capital Allowances | Maintain Assets Pools screen.

The current year figure is the Pool C/Fwd figure in the same screen.

WDV of industrial buildings.

The WDV of qualifying assets comes from data entered in the Building Allowance section of Business Tax.

Adjustments.

Any other adjustments to the WDV of qualifying assets can be entered into this box. It is possible to enter a positive or negative figure.

Reporting.

Once the data has been entered, the excess of NBV over the excess of WDV is calculated.

The accelerated capital allowances (ACAs) report reproduces the information entered into the ACAs screen.

To print this report select Reporting, Deferred Tax, Accelerated Capital Allowances.