The following Owner-Managed Businesses guidance note by Tolley provides comprehensive and up to date tax information covering:
Debits arising in the accounts of the company in relation to intangible assets are, as a basic rule, treated as being allowable debits in the period in which they are charged. There is, however, no relief for these debits where the asset is goodwill or a customer-related asset acquired from a related individual or firm (eg on an incorporation) on or after 3 December 2014, or any goodwill or customer-related asset acquired on or after 8 July 2015 but before 1 April 2019. The debits on these assets are not allowed until the realisation of the asset. On realisation, any debit is treated as a non-trading debit. From 1 April 2019, there is limited relief in very restrictive circumstances. For further details, see the Trade intangibles guidance note.
The tax treatment of debits and credits relating to intangible fixed assets is different depending on whether they relate to an asset used in a trade, a property business, or for non-trading purposes, as summarised below:
Non-trading losses on intangible fixed assets may be used in the following ways. The losses can be:
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