This section allows input and calculation of capital allowances on Structures and Buildings within a Freeport tax site.
Click the link for more information on the allowance https://www.gov.uk/government/publications/enhanced-structures-and-buildings-allowances-in-freeports/enhanced-structures-and-buildings-allowances-in-freeports
The CT600M Supplementary Pages are automatically generated based upon the information entered.
The tab shows a grid where a list of the assets created is displayed showing
- Description – a description for the asset
- Location – the location of the Freeport where the expenditure on Plant and machinery was incurred.
- Allowance – the amount of the annual allowance for the period.
New asset creation
Select the New asset button to create a building or structure for a given Freeport location.
Some of the data entry fields in this screen have a red asterisk alongside them which indicates that this information is required, and the information entered cannot be saved until they are completed.
- Description – enter a description for the asset.
- Location of Freeport – select the Freeport location from the drop-down selection list
- Date designated a Freeport – enter a date the site was designated a Freeport. This must be on or after 1/11/2021 to qualify for an allowance.
- Address of business operations – Ensure at least the first two lines of the address are completed.
- Date of first contract for construction – enter the date of the first contract for construction. This cannot be before 1/11/2021.
- Date the building was brought into use – enter the date the building was first brought into use. This cannot be before 1/11/2021.
- Expenditure – cost of the qualifying expenditure
- Date of disposal – enter the date of disposal.
- Disposal proceeds – enter the amount of the disposal proceeds.
- Written down value b/fwd – this value is calculated after rolling forward to a new period where the asset was acquired in the previous period and until the asset is disposed of. It can be overwritten by an alternative value.
- Annual allowance on expenditure – this is automatically calculated based on the expenditure multiplied by the prevailing rate which is 10%. The allowance calculated is restricted based on:
- the number of days the building was in use within the period.
- After 10 years the allowance will be the lower of the written down value b/fwd and the annual allowance on the expenditure.
- Written down value c/fwd – this is automatically calculated. It is calculated as follows:
- In the period the asset was acquired it is the Expenditure – Annual allowance on expenditure
- In the period in which the asset is disposed of it is the written down value b/fwd – annual allowance on expenditure for the period
- The value will be nil where the asset has been fully written down over a period of 10 years.