The taxpayer sought to set off against its liability to Corporation Tax the depreceiation of its stock.
Held: The Inspector’s appeal succeeded. Even though the depreciation was conventional, the prohibition in the 1988 Act was general and overrode it, and was not displaced by the recognition given in the 1998 Act to standard accountancy practices. It extended to depreciation not charged as an expense but as a cost of carrying the stock.
Judges:
Lightman J
Citations:
[2005] EWHC 553 (Ch), Times 11-May-2005
Links:
Statutes:
Income and Corporation Taxes Act 1988 74(1), Finance Act 1998 42, Companies Act 1985 226
Jurisdiction:
England and Wales
Corporation Tax
Updated: 25 September 2022; Ref: scu.224107