The software validates entries made and there are several data validation messages that may appear if one or more of the entries fail the data validation. These validations are in place to avoid obvious errors that could result to rejection of returns by HMRC.

Message: The written down value carried forward cannot be negative…

When using the free in-built computation template and completing the Capital allowances/balancing charges section, accounting entries must be made in relevant sections and the value carried forward should either be a positive number or zero. The values carried forward cannot be less than zero.

In this explanation we have used an example of 'Machinery and Plant' Capital Allowance section only. Accounting entries must be made in all the relevant sections.

Computations - Machinery and Plant

1. Brought forward:
   

   Enter 'Written down value brought forward' (if any)
   

2. Additions in the period:
   

   Enter values of total additions made during the period for each relevant capital expenditure category. This is the capital expenditure against which you are claiming capital allowance.
   

Data entry fields provided:


1. Relevant First Year Allowance (FYA) expenditure.
   
2. Other FYA expenditure
   
3. Additions qualifying for Writing Down Allowance (WDA)
   



For example: Enter a value in ' Other FYA expenditure'


3. Additions for Annual Investment Allowance:
   

   If you are going to be claiming Annual Investment Allowance (AIA) in 'Allowance and charges' section, then in the field 'Expenditure qualifying for Annual Investment Allowance (AIA)', enter a value of capital expenditure (additions) that is relevant for AIA.
   

   Generally this amount will not be more than the total sum of values entered in 'Additions in the period'.
   

4. Disposals in the period:
   

   Enter a value of 'Disposal proceeds' (if any).
   

   Disposals cannot be higher than the sum of 'Brought forward' and 'Additions in the period'
   

5. Allowances and charges:
   

   If you are claiming any allowances and balancing charges during the period, enter values as appropriate in the relevant category.
   

   Values of allowance claimed in these fields cannot exceed value entered in the corresponding field within 'Additions in the period'
   

Data entry fields provided:


1. Relevant First Year Allowances claimed
   
2. Other First Year Allowances claimed
   
3. Total First Year Allowances claimed (automated field)
   
4. Annual Investment Allowance claimed
   
5. Writing Down Allowance claimed
   
6. Balancing allowance (field only accessible if the company has ceased trading)
   
7. Total allowances claimed (automated field)
   
8. Balancing charge
   



6. Written down value:
   

   Based on entries, a 'Written down value' will be calculated.
   

   Written down value cannot be negative.
   

   If a data validation message is displayed 'The written down value carried forward cannot be negative. Please check and correct the entries.', this suggests that entries have either been missed out, overstated or values have been entered in incorrect field on one or more of the preceding screens/fields.
   

   Check all the accounting entries recorded in the relevant sections of the Capital allowances/balancing charges.
   

Message: 'Annual Investment Allowance claimed' must not exceed value of 'Additions for Annual Investment Allowance - Expenditure qualifying for Annual Investment Allowance (AIA)'.


Section message is displayed on: Computations - Machinery and Plant


This validation message is displayed when


1. An entry has been made in 'Allowance and charges' – ' Annual Investment Allowance claimed' field, but,
   
2. There is no corresponding entry in 'Additions for Annual Investment Allowance - Expenditure qualifying for Annual Investment Allowance (AIA)'
   

Valid entries must be processed in relevant fields


Message: 'Please enter the amount of expenditure you reported in 'Machinery and plant' section'


Section message is displayed on: 'Summary - Capital allowances/balancing charges'


This validation message is displayed when


1. In the section 'Computations - Machinery and Plant', an entry has been made in 'Additions in the period' – 'Relevant First Year Allowance (FYA) expenditure' field, but,
   
2. There is no corresponding entry in 'Summary - Capital allowances/balancing charges' –'Expenditure on designated environmentally friendly machinery and plant'
   



Valid entries must be processed in relevant fields.


Please note, Andica CT600 software's free basic inbuilt accounts and computations iXBRL conversion template is provided as detailed in the software Feature web page.





Disclaimer: We cannot advise on how you should complete your tax returns or how the taxes are calculated. Information provided here is given without any obligations and we will not accept any claims or liabilities for any damages as a result of you relying on the information given here, if in doubt you must consult the HMRC Online Services Helpdesk on 0300 200 3600 or a professional tax advisor.