Section 56A — Finance Act 2008: Writing-down allowances for small pools

Writing-down allowances for small pools 56A 1 This section applies in relation to the main pool and the special rate pool.

2 Where the amount by which AQE exceeds TDR is less than or equal to the small pool limit, the amount of the writing-down allowance to which a person is entitled for a chargeable period is the amount by which AQE exceeds TDR.

3 The small pool limit is £1,000, except that—

a if the chargeable period is more or less than a year, it is proportionately increased or reduced, and b if the qualifying activity has been carried on for part only of the chargeable period, it is proportionately reduced.

4 A person claiming a writing-down allowance under this section may require the allowance to be reduced to a specified amount.

5 The Treasury may by order substitute for the amount for the time being specified in subsection (3) such other amount as it thinks fit.

6 An order under subsection (5) may make such incidental, supplemental, consequential and transitional provision as the Treasury thinks fit.