Plant & Machinery - Annual Investment Allowance
The AIA gives a 100% write-off on most types of plant and machinery costs, including integral features and long life assets but not cars, of up to £50,000 per annum. The limit is increased to £100,000 for expenditure incurred on or after 6 April 2010 (1 April 2010 for companies). Special rules apply for accounting periods straddling these dates
Other Plant and Machinery Allowances
The annual rate of allowance is 20%. A 10% rate applies to expenditure incurred on integral features and on long life assets.
A temporary 40% first year allowance may be due for certain expenditure exceeding the AIA incurred in the 12 month period beginning on 6 April 2009 (1 April 2009 for companies), costs are generally allocated to one of the two plant and machinery pools. Cars with CO2 emmissions not exceeding 160gm/km receive a 20% allowance per annum. Cars with CO2 emmissions over 160gm/km receive a 10% allowance per annum.
Industrial and Agricultural Buildings and Hotels
The annual rate of allowance is 1% (2%) from 6 April 2020 (1 April 2010 for companies). Special rules apply for accounting periods straddling these dates.
Disclaimer | THE BUDGET 2010
