The initial allowance rate on plant and machinery is:
A15%
B25%
C50%CORRECT
D95%
ICANTaxationCapital Allowances2022
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Why the answer is C, and why the others tempt you.
Plant and machinery attracts an initial allowance of 50% in the year the asset is first used, and an annual allowance of 25% on the residue, with ₦10 retained in the books until the asset is disposed of.
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