Capital Allowances are tax reliefs provided by the government on qualifying capital expenditure. They allow businesses to deduct the cost of certain assets, such as equipment or machinery, from their taxable profits. The main aspect of overlooked Capital Allowances are Property Embedded Fixtures and Fittings (PEFFs). Learn more about PEFFs. We send out monthly newsletters that you can subscribe to that educate our readers on all things Capital Allowances.
Capital Allowances are tax deductions that businesses can claim on certain types of expenditure for commercial properties. These include machinery, and equipment that are used for business purposes. These allowances enable businesses to offset the cost of these assets against their taxable profits, reducing their overall tax liability. Understanding and maximising capital allowances can significantly benefit businesses by improving cash flow and reducing their tax burden.
However, not everyone is familiar with the rules, regulations and eligibility surrounding Capital Allowances. Explore our FAQs to learn more
