A sole trader purchased a van Feb 21, I understand the full cost of the van (£5000) will be claimed as AIA on the tax return however i'm unsure as to what rate/method to use to account for the depreciation? Also does the depreciation figure then get apportioned for the months owned throughout the financial year?
Up to the business and the depreciation policy they wish to adopt, there is no correct/incorrect way to do it.
If I am asked by my clients to advise, I usually depreciate a vehicle over 4 years, starting in the year of purchase but nothing in the year of disposal.
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Doug
These are only my opinions of how I see things and therefore should not be taken as advice
