Key points
- Super-deductions are no longer in existence. Companies can now claim a 100% deduction on specific investments (full expensing).
- This relief is temporary until 31 March 2026.
- There is a 50% first year allowance for qualifying special rate/integral feature assets but it may be more advantageous to disapply it and instead claim the AIA up to £1m.
- Full expensing will only apply to brand new unused assets acquired before 31 March 2026.
- Consider exclusions from first year allowances per CAA 2001 s 46.
After the cessation of the super-deduction capital allowance earlier this year companies will have access to a new first year allowance (FYA) referred to as ‘full expensing’ that allows them to claim a 100% deduction for tax purposes in the year of spend on specific capital investments.
This relief is temporary and will end on 31 March 2026 but for...
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.