CAPITAL ALLOWANCES - 29.11.2023
How to maximise capital allowances
Tax relief in the form of capital allowances (CAs) for expenditure on equipment often goes begging or is delayed because it’s overlooked or not claimed at the right time. What steps can you take to improve tax efficiency?
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CAPITAL ALLOWANCES - 26.10.2023
Super-deduction - HMRC has an app for that
Super-deduction. For purchases of plant and machinery (equipment) between 1 April 2021 and 31 March 2023, companies are entitled to an enhanced capital allowance (CA) known as the super-deduction , or an accelerated CA called the special rate allowance. Where the super-deduction has been claimed and the equipment is sold, a balancing adjustment is required to claw back some of the CA claimed. If the special rate allowance has been claimed, a balancing adjustment may result in a clawback or extra CAs depending on the proceeds of sale. ...
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CAPITAL ALLOWANCES - 25.10.2023
Should clients opt for full expensing?
Your client, a limited company, is planning on spending £500,000 on machinery. It is familiar with the annual investment allowance (AIA), but it does not know much about capital allowances relief under full expensing. What are the pros and cons of each?
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CAPITAL ALLOWANCES - 03.10.2023
Full expensing - is your cup overflowing with tax relief?
You’ve heard from a colleague that all equipment bought for your business now qualifies for 100% relief as a deductible expense, so there’s no need to keep a separate record of it as expenditure. Is he right and why does it matter?
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CAPITAL ALLOWANCES - 28.09.2023
Tax planning for equipment purchases
Within limits, businesses are entitled to tax relief on equipment for the financial year in which they purchase it. However, purchases through HP and similar contracts are exceptions to this rule. How can you ensure the earliest tax relief for these?
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CAPITAL ALLOWANCES - 30.08.2023
Company vs employee purchase of capital equipment
Your client is a company with several employees who wish to work from home, which the directors have agreed to. However, they need to purchase office equipment to be able to work. Are there tax breaks if the employees incur the costs, and is this the best option?
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