HM Revenue & Customs

UK Property 12 - Balancing charges

If during the year you dispose of (that is, sell or give away) or stop using an item in your business for which you claimed capital allowances, there may be an adjustment called a balancing charge.

Any balancing charges are regarded as income if you’re claiming property income allowance.

For further information go to Capital allowances and balancing charges (Self Assessment helpsheet HS252).