86
CAP. 112]
Inland Revenue
[1989 Ed.
event, a balancing charge shall be made, and the amount on which it is made shall be an amount equal to the excess or, where the said amount still unallowed is nil, to the said moneys.
(4) Where by reason of a person ceasing to carry on his trade, profession or business, machinery or plant in respect of which an initial or an annual allowance has been made is put out of use, such person shall be deemed to have received immediately prior to such cessation, sale moneys for such machinery or plant of such an amount as the Commissioner may consider it would have realized had it been sold in the open market at the time of cessation:
Provided that if such person sells such machinery or plant within 12 months of the date of cessation he may claim the adjustment of any balancing allowance or charge which may have been made to or on him as if such sale had taken place immediately prior to the date of cessation and notwithstanding the provisions of section 70 an assessor shall make any necessary correction to any assessment. (Added 36 of 1955 s. 44. Amended 35 of 1965 s. 21)
(5) Notwithstanding anything contained in this section, in no case shall the amount on which a balancing charge is made on a person exceed the aggregate of the following amounts, that is to say (Amended 36 of 1955 s. 44)
(a) the amount of the initial allowance, if any, made to him in respect of the expenditure in question;
(b) the amount of the annual allowances, if any, made to him in respect of the expenditure in question, including any allowance computed under proviso (b) to section 37(2) at a rate higher than that prescribed by the Board of Inland Revenue. (Amended 3 of 1949 s. 13)
38A. Determination of cost of individual assets sold together for one price
Where assets which qualify for initial or annual allowances under this Part are sold together or with other assets in pursuance of one bargain the Commissioner shall for the purposes of the calculation of the allowances and charges provided for in this Part, and having regard to all the circumstances of the transaction allocate a purchase price to each individual asset.
(Added 36 of 1955 s. 45)
38B. Commissioner's power to determine and- the true value of an asset on sale
Where an asset which qualifies for initial or annual allowances is sold,
86
CAP. 112]
Inland Revenue
[1989 Ed.
event, a balancing charge shall be made, and the amount on which it is made shall be an amount equal to the excess or, where the said amount still unallowed is nil, to the said moneys.
(4) Where by reason of a person ceasing to carry on his trade, profession or business, machinery or plant in respect of which an initial or an annual allowance has been made is put out of use, such person shall be deemed to have received immediately prior to such cessation, sale moneys for such machinery or plant of such an amount as the Commissioner may consider it would have realized had it been sold in the open market at the time of cessation:
Provided that if such person sells such machinery or plant within 12 months of the date of cessation he may claim the adjustment of any balancing allowance or charge which may have been made to or on him as if such sale had taken place immediately prior to the date of cessation and notwithstanding the provisions of section 70 an assessor shall make any necessary correction to any assessment. (Added 36 of 1955 s. 44. Amended 35 of 1965 s. 21)
(5) Notwithstanding anything contained in this section, in no case shall the amount on which a balancing charge is made on a person exceed the aggregate of the following amounts, that is to say (Amended 36 of 1955 s. 44)
(a) the amount of the initial allowance, if any, made to him in respect
of the expenditure in question;
(b) the amount of the annual allowances, if any, made to him in respect of the expenditure in question, including any allowance computed under proviso (b) to section 37(2) at a rate higher than that prescribed by the Board of Inland Revenue. (Amended 3 of 1949 s. 13)
38A. Determination of cost of individual
assets sold together for one price
Where assets which qualify for initial or annual allowances under this Part are sold together or with other assets in pursuance of one bargain the Commissioner shall for the purposes of the calculation of the allowances and charges provided for in this Part, and having regard to all the circumstances of the transaction allocate a purchase price to each individual asset.
(Added 36 of 1955 s. 45)
38B. Commissioner's power to determine
and-
the true value of an asset on sale
Where an asset which qualifies for initial or annual allowances is sold,
i
No comments yet.
Private notes are available after approval.