C1C4C3C5C7C2C6Part 8Intangible fixed assets
Pt. 8 modified (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 601, 1184(1) (with Sch. 2)
Pt. 8 modified (1.10.2011) by Postal Services Act 2011 (c. 5), s. 93(2)(3), Sch. 2 para. 6(1); S.I. 2011/2329, art. 3
Pt. 8 modified (15.11.2011 for specified purposes, 30.3.2012 for E.W.) by Localism Act 2011 (c. 20), ss., 240(5)(o), Sch. 24 para. 1(3); S.I. 2012/628, art. 3(b)
Pt. 8 modified (1.4.2012) by Budget Responsibility and National Audit Act 2011 (c. 4), s. 29, Sch. 4 para. 3(1); S.I. 2011/2576, art. 5
Pt. 8 modified (with effect in accordance with s. 148 of the amending Act) by Finance Act 2012 (c. 14), s. 88(1)(2)(7) (with s. 147, Sch. 17)
Pt. 8 modified (6.4.2020) by Finance Act 2019 (c. 1), Sch. 5 paras. 35, 45 (with Sch. 5 para. 36)
Chapter 2Credits in respect of intangible fixed assets
723Revaluation
1
If in a period of account there is an increase in the accounting value of an intangible fixed asset on a revaluation, a credit must be brought into account for tax purposes.
2
The amount of the credit is the lesser of—
a
the amount corresponding for tax purposes to the increase (see subsection (3)), and
b
the net total of relevant previous tax debits (see subsection (4)).
3
The amount corresponding for tax purposes to the increase is—
where—
I is the increase,
WDV is the tax written-down value of the asset immediately before the revaluation, and
AV is the accounting value of the asset by reference to which the revaluation is carried out.
4
The net total of relevant previous tax debits is—
where—
D is the total debits previously brought into account for tax purposes in respect of the asset, and
C is the total credits so brought into account.
5
For the purposes of this section “revaluation” includes—
a
the valuation of an asset for which a value is shown in the company's balance sheet, but which has not previously been the subject of a valuation, and
b
the restoration of past losses.
6
This section does not apply to an asset in respect of which an election has been made under section 730 (writing down at fixed rate: election for fixed-rate basis).
Pt. 8 modified (1.1.2010) by Northern Rock plc (Tax Consequences) Regulations 2009 (S.I. 2009/3227), regs. 1, 6(1)