Revaluation of fixed assets

[xoggoth]

Going to close my company shortly. Really ancient/defective equipment has been chucked out and have revalued the not quite so ancient/working stuff as there was an unrealistic 15% depreciation rate, as originally set by accountants.

Know how to handle disposals/sales as done those before but can't find anything sensible about how to show the revaluation in notes to the accounts. Found a thing on accountingweb where there was disagreement!

Anyone got a working example? Cheers.

PS Anyone need a Windows 3.1 black and white laptop? Very cheap.
PPS Or a parallel port PC tape drive?

[northernladuk]

PS Anyone need a Windows 3.1 black and white laptop? Very cheap.
PPS Or a parallel port PC tape drive?

According to your books wern't they worth £1800 three months ago??

[xoggoth]

No, I revalued them at £19,800. Rare collectors items them.

Actually you're not far wrong, things cost a fortune then. I paid £950 for a Win98 laptop.

[Tanya@SC Lee Accountant Ltd]

when did you pay that 950 pound?

No, I revalued them at £19,800. Rare collectors items them.

Actually you're not far wrong, things cost a fortune then. I paid £950 for a Win98 laptop.

[xoggoth]

Nov 2000, although that was including the VAT.

[ASB]

Xog,

If you are going the ESC16 route then why bother revaluing?

If the retained funds you are going to distribute after all allowances etc are such that you are not to pay any CGT then it doesn't matter from that side of things. I guess though you might be able to achieve some CT relief in effect though which might be useful.

You can also ensure you reduce the retained funds by ensuring you pay dividends to get you as close to the 40% banding as possible thus helping to minimise potential CGT exposure.

If you still need to revalue them find some ads on ebay to gauge prices and revalue them to that. I would imagine you are talking about a relatively small sum and in my experience HMIT is not going to be particularly interested.

[xoggoth]

It is pretty small, about £1200 of ancient equipment before disposals/revaluation and £320 after but seemed a good idea to make it realistic just in case. Plus I am a ridiculously anal personality that has to have everything accurate to the last 2p. Think I've sorted how to show it in accounts now anyway. Cheers.