Disposal of non-operational assets

If we dispose of a non-operational asset for more than the acquisition cost, can we realise the gain to revenue?

  • I am assuming you therefore mean either surplus assets or investment properties or intangibles - You transfer the carrying value to the Gains and Losses on Disposal in Other Operating Expenditure and reverse via MiRs to CAA.  You credit the cash from the disposal to the Gains and Losses on Disposal, if above deminimis for capital receipts it is transferred to the Capital Receipts Reserve via the MiRS if not there is no further entries, therefore a revenue gain.