Tax Information Main Capital Allowances
Please select an option:
- Income Tax
- Corporation Tax
- Value Added Tax
- Vehicle Benefits
- NI Contributions
- Pension premiums
- Charitable giving
- Some useful rates
- Government tax spending
- Capital gains Tax
- Main capital Allowances
- Inheritance Tax
- Mileage Allowances
- Key dates and deadlines
- Profit related pay
- Savings and investments
- Stamp Duties
| Motor Cars | |
|---|---|
| On reducing balance (max. £3,000 p.a. per car) | 25% |
| Plant and machinery | |
| Small and medium firms: | |
| Allowance for the first year | 40% |
| Writing down allowance on reducing balance | 25% |
| Large firms: | |
| Writing down allowance only on reducing balance | 25% |
| Long Life Assets | |
| Allowance for first year | 6% |
| Writing down allowance for subsequent years on reducing balance | 6% |
| Energy Saving Technology | |
| All Firms | 100% |
| Low Emission Cars | |
| Registered on or after 17 April 2002 | 100% |
| Buildings | |
| Industrial buildings and qualifying hotels | 4% of cost p.a. |
| Commercial/Industrial buildings in an enterprise zone | 100% |
| Agricultural buildings | 4% of cost p.a. |
| Scientific Research | 100% |
| Know how on reducing balance | 25% |
| Patent rights on reducing balance | 25% |
Note
Capital allowances allow the cost of capital assets to be written off against taxable profits. They replace the charge for depreciation in the business accounts, which is not allowable for tax relief.
Did you know?
That the benefit to British businesses of capital allowances is calculated to be in excess of £17 billion each year