Take advantage of the Governments, business tax super-deduction to help business investment bounce back to pre-pandemic levels, the Government is incentivising the purchase of new assets for a business. The tax super-deduction of 130% until 31 March 2023 is a new capital allowance scheme, meaning that for every pound a company invests, their taxes can be cut by up to 25p.
The super-deduction measure was announced in the Budget and started on 1 April 2021. For expenditure incurred from then until 31 March 2023, companies can claim 130% capital allowances on most new plant and machinery that usually qualifies for 18% main rate writing down allowance. This is only available to limited companies for new equipment. You can find more information and examples on the Government Super Deduction Fact-sheet.
