Allowance

1. Environmental policy - carbon pricing - emission trading schemes.

A right to emit a defined quantity of carbon dioxide (CO₂), or its equivalent in other greenhouse gases.

2. Tax.

A tax-free amount, or other ways of calculating a reduction in tax payable.

3. Bank charges.

A way of calculating a reduction in bank fees and charges, for example an earnings credit allowance.

4. Banking - credit risk losses.

A way of calculating estimated credit risk losses on a portfolio of loans, for example an impairment allowance.

See also

• Annual allowance
• Cap and trade
• Capital allowances
• Carbon credits
• Carbon dioxide equivalent
• Carbon footprint
• Carbon pricing
• Carbon tax
• Carbon trading
• Charge
• Earnings credit allowance
• Emission trading scheme
• EU Allowance
• First year allowance
• Greenhouse gas
• Impairment allowance
• Personal allowance
• Plant and machinery allowances
• Relief
• UK Allowance
• Writing down allowance