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Writing-Down Allowance

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Writing-Down Allowance
A reduction in the taxable income of a corporation due to assets acquired in a year. To calculate the writing-down allowance, one adds a percentage of the value of the assets purchased in the current year to the depreciation on assets purchased in previous years. The writing-down allowance reduces a company's corporate tax liability.


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Cars with emissions more than 110 g/km will be subject to writing-down allowances of 20 per cent and those with 160g/km or more, ten per cent.
From April, 2009, cars with CO2 emissions above 160g/km will attract a 10% writing-down allowance for businesses, whereas expenditure on cars with CO2 emissions of 160g/km or below, which includes the Insignia, Astra, Corsa and Agila ecoFLEX models, will attract the full 20%.
What has yet to be established is the interpretation of the reference to "certain fixtures integral to a building" and the 10% writing-down allowance applicable to these.
 
 
 
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