According to FRS 15,

When we re-value an asset the corresponding entries are
Dr- Asset(by increased value)
Cr- STRGL by corresponding amount.
(frs15 requires that gains on re-valuation be credited to the STRGL and not the p&L)

on the sale of the asset.
FRS15 permits on realisation of the revalued asset that the gain recognised in the STRGL on revaluation be transfered directly to the p&l account and not necessarily the income statement.
(check me if i am wrong)

my question is where the asset is sold at a price relatively close to the re-valued amount (carrying value) and therefore no gains on disposal, does this shelter the disposal from a tax point of view??

Surely the asset would be disposed of in the tax return by way of the capital allowances computation so would not be sheltered anyway?

Thanx, i actually thought about the fact that the revaluation gain would be taxe under capital allowances just after i did the post and was still interested to see what comment if any would be made.

enjoy your weekend