The indexation allowance on a disposal by a company is the sum total of the indexed rises for each item of qualifying expenditure1. Indexation allowance is frozen after December 2017 so that:
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•ÌýÌýÌýÌý no indexation allowance is available for expenditure incurred after 31 December 2017
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•ÌýÌýÌýÌý for expenditure incurred before 1 January 2018 which is deducted on a disposal on or after that date, indexation allowance is computed up to and including December 2017 only
Disposals in December 2017 or later
Because indexation allowance is frozen at December 2017, the indexed rise for an item of qualifying expenditure can be calculated by multiplying the deductible amount of expenditure by the amount found in the following table. (This amount is the result of applying the formula below for earlier disposals using the retail prices index for December 2017.)
| Month of acquisition | 1982 | 1983 | 1984 | 1985 | 1986 | 1987 | 1988 | 1989 | 1990 | 1991 |
| Jan | — | 2.366 | 2.202 | 2.049 | 1.889 | 1.781 | 1.692 | 1.505 | 1.327 | 1.136 |
| Feb | — | 2.352 | 2.189 | 2.025 | 1.879 | 1.770 | 1.682 | 1.487 | |
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