Re: FN-FORUM: Self-assessment and tax return: where do you list pc/laptop purchases?

date posted 25th April 2008 12:58

Quoting Anthony Cartmell [EMAIL REMOVED]

>
[snip]
>> I know that purchases of equipment such as laptops or computers, above
>> a certain value, don't just go under expenses and instead are claimed
>> year on year with a depreciation of their value.
>
> Capital costs are indeed claimed via a system of depreciation under
> Captial Allowances. I can give examples or the allowances I claimed for my
> PC if you like.
>
>> How is this calculated though?
>
> Quite complicated. You can claim tax relief on a percentage of the capital
> cost (used to be 50% in the year of purchase, then 25% for later years,
> calculated on the remaining unclaimed value), reduced by an amount for any
> non-business use (in the ratio of business use to non-business use in
> terms of time).
>


It's worth talking to an accountant about any equipment purchases for =20
this tax year - the HMCE changed the deal quite a lot, and you can =20
(ASIUI) claim the entire purchase price back in this tax year rather =20
than going through depreciation calculations etc. - so long as the =20
equipment costs come to less than =A350,000 in the tax year.

I realise that Duncan's talking about the return for 07/08 tax year, =20
and this change applies to 08/09 , but I figured it was worth throwing =20
the extra info into the pot!

I've just set up my business as a limited company, using an accountant =20
for the paperwork and as the main point of contact, so I'd recommend a =20
look at TaxAssist accountants (http://www.taxassist.co.uk/ ) - they're =20
like a franchise with self-employed accountants for each place, but =20
for my local one I've so far been very impressed, and they offer a =20
free initial consultation too.

Alex
http://www.ozbon.com