»Ê¹ÚÌåÓýapp

Site preparation expenditure of £1,200 was incurred on a waste disposal site in the year to 31 December 2010. None of the expenditure qualified for capital allowances. »Ê¹ÚÌåÓýapp total capacity of the site was 800 cubic metres, and it was used as follows:

Year to	Cubic metres
31.12.10	100
31.12.11	300
31.12.12	400
	800

»Ê¹ÚÌåÓýapp formula for relief is RE x WD / SV + WD where:

RE = the site preparation expenditure less any amount previously deducted

WD = volume of materials deposited in period of account

SV = volume of site unused at end of period of account.

Year to 31.12.10

In the formula

RE = £1,200

WD = 100 cubic metres

SV = 700 cubic metres

Relief = £1,200 x 100 / 700 + 100 = £150

Year to 31.12.11

In the formula

RE = £1,200 - £150 = £1,050

WD = 300 cubic metres

SV = 400 cubic metres

Relief = £1,050 x 300 / 400 + 300 = £450

Year to 31.12.12

In the formula

RE = £1,200 - £150 - £450 = £600

WD = 400 cubic metres

SV = Nil

Relief = £600 x 400 / 400Ìý= £600