News - Tax
8 March 2023
Limited companies have up until 31st March 2023 to make use of the super-deduction. Initially announced on 3rd March 2021, the then Chancellor Rishi Sunak stated that for the following two years, companies can reduce their tax bill with Super Deduction of 130% of the costs for Business Investment.
The temporary tax relief on qualifying capital asset investment, will cut a companies’ tax bill by 25p for every £1 invested in new equipment meaning they can reduce their taxable profits by 130% of the cost. This made the UK capital allowances regime one of the World’s most competitive.
Companies have had from 1 April 2021 until 31 March 2023, to invest in qualifying new plant and machinery assets, enabling them to claim:
With the end of March fast approaching now is the time to invest in any qualifying capital asset and make use of the tax saving.
Contact us if you’d like to discuss any of the above and how it impacts you and your business.