Businesses are allowed to claim tax relief on purchases of certain assets such as a vehicle or piece of equipment.

Capital Allowances allow you to deduct a proportion of the cost of the asset from your profits before calculating your tax liabilities, potentially yielding significant tax savings.

The nature of the expenditure determines the type of capital allowance that can be claimed and the rate of relief that is available.

The most attractive capital allowances include:

The Annual Investment Allowance (AIA) – 100%
  • Deduct 100% of the cost of the asset in the year of purchase
  • Available to all businesses on investments in plant and machinery (cars do not qualify)
  • The maximum deduction from profits is currently limited to £500,000
First Year Allowance (FYA) – 100%
  • Deduct 100% of the cost of the asset in the year of purchase
  • Available on certain energy and water efficient plant and machinery
  • Can be claimed in addition to AIA

Please contact us to discuss how our expert team of tax advisors can work with you to maximise the impact of capital allowances deductions in your business.

Stuart Barbour CA CTA

Director

More about Stuart

Case Study

Gardener Schools Group

Schools are increasingly more accountable for their finances, especially academies, free schools and independent schools. Warrener Stewart’s experience in the education sector includes supporting with the development of a group of new, independent preparatory and senior schools based in Chiswick, Hammersmith, Richmond, Maida Vale and Kew Bridge.

Client's view

“ Warrener Stewart has consistently given good advice. They have always been supportive of the business and kept up with the pace of change as it has grown and developed, frequently going above and beyond their remit. ”

Read the case study

Find out more

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Or alternatively call us or email us:

London: 020 7731 6163
Edinburgh: 0131 287 8299
info@warrenerstewart.com 

“ For the past 20 years Warrener Stewart has consistently given good advice... going above and beyond their remit. ”
Theo Brehony – Gardener Schools Group