Commentary

Input tax adjustment following change in taxable use of capital goods

Tax tables
Tax tables | Commentary

Input tax adjustment following change in taxable use of capital goods

Tax tables | Commentary

Capital goods scheme

Input tax adjustment following change in taxable use of capital goods

From 1 April 1990

ItemValueAdjustment period
Computer equipment, aircraft or ship£50,000 or more5 years
Land and buildings£250,000 or more10 years (5 years where interest had less than 10 years to run on acquisition)

Adjustment formula—

The adjustment percentage is the percentage change in the extent to which the item is used (or treated as used) in making taxable supplies between the first interval in the adjustment period and a subsequent interval. (The first interval generally ends on the last day

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