In an effort to kick start the economy the UK Government will allow companies to claim 130% capital allowances on qualifying plant and machinery.

The super-deduction means that for every pound a company invests, their taxes are cut by up to 25p.

There are four parts to this scheme:

The Super Deduction

offers 130% first year relief on qualifying plant and machinery investments.  Valid until 31^st March 2023.

50% First Year Allowance (FYA)

a special rate which includes long life assets. Valid until 31^st March 2023.

Annual Investments Allowances

providing 100% relief for plant and machinery up to 31^st December 2021, up to a £1million threshold.

Enhanced Capital Allowances (ECA+)

companies , individuals and partnerships can benefit from an increased level of Structures and Buildings allowance, all the way through to September 2026.

The 130% super-deduction and 50% first year allowance will allow companies to greatly lower their corporation tax bills.

The kind of assets that may qualify are:

• Refrigeration Units
• Computer equipment
• Tractors, Lorries and Vans
• Office chairs and desks

Why delay when you can act today and avail of these attractive incentives. Combining these incentives with Novums range of the most energy efficient, low maintenance freezers on the global market will lead a much healthier balance sheet for your organization.

Check on UK government website for eligibility criteria

Speak to your accountant for further advice but this could be a great time to make that investment you’ve been thinking about for the last few years.

To download the super deduction factsheet, please click here>>>