balancing allowance
When an asset in respect of which capital allowances have been claimed is sold, there is a comparison between the sale price and the tax written down value. (In the case of plant and machinery, this is generally done by reference to the entire pool of qualifying assets rather than on an asset by asset basis.) Where the sale price is lower than the purchase price less capital allowances already given, a balancing allowance arises, which will be deducted from the calculation of income profits for that year.
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Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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