Part 4

Agricultural buildings allowances
Chapter 5

Balancing adjustments

Calculation of balancing adjustments

Calculation of balancing adjustment
385
1
A balancing allowance is made if—
a
there are no proceeds from the balancing event, or
b
the proceeds from the balancing event are less than the residue of qualifying expenditure immediately before the event.
2
The amount of the balancing allowance is the amount of—
a
the residue (if there are no proceeds);
b
the difference (if the proceeds are less than the residue).
3
A balancing charge is made if the proceeds from the balancing event are more than the residue of qualifying expenditure immediately before the event.
4
The amount of the balancing charge is the amount of the difference.