Annual Investment Allowance is reducing

From April 2012 the amount of capital expenditure that qualifies for 100% year one write off is reducing from £100,000 to £25,000. Business owners might want to bring forward plans to invest in machinery, before the qualifying amount is reduced. This allowance is called the Annual Investment Allowance (AIA). It enables all businesses to reduce…

Capital Allowances on Plant

At present purchases of qualifying plant and other equipment can be written off against your taxable profits. Tax relief is obtained by utilising the Annual Investment Allowance. For the current tax year, 2011-12, this amounts to a 100% write off with a limit of £100,000. As with most opportunities all good things come to an…