Treatment of Prepaid road tax on sale of office car

This discussion addresses the accounting treatment for prepaid road tax when an office car is sold. The user explains that road tax, paid every five years, was capitalised. When the car is sold before the end of the prepaid period, the question is how to account for the remaining prepaid tax. Advice suggests treating the prepaid road tax as part of the car's acquisition cost and capitalising it, as it's considered a finance cost excluded from certain valuation methods.