ANNUAL INVESTMENT ALLOWANCE
Philip Hammond, recently announced in the Budget that significant changes were being made to the way UK businesses can obtain tax relief via Capital Allowances.
One of the most significant changes in this area was an increase in the Annual Investment Allowance (AIA) from £200,000 to a huge £1,000,000.
The dramatic increase in AIA will benefit all UK businesses making significant capital investments. These businesses are now able to obtain tax relief on all qualifying plant & machinery expenditure up to the value of £1,000,000 all in one go, as opposed to writing down the capital allowances over many years on reducing balance rates of 8% and 18% per year.
If you have any questions about this please do not hesitate to contact us