Capital Allowances Advice in Ayr
'Capital Allowances' refers to the deduction we can claim on your behalf for expenditure on plant and machinery, in lieu of depreciation.
Although the term 'plant' is defined in statute, the law is not straightforward and there is a long history of disputes between taxpayers and the authorities about what does and doesn't qualify as plant.
The importance of plant allowances has increased in recent years following the phasing out of allowances for industrial buildings, hotels and agricultural buildings. Allowances are no longer generally given for the structure of a building but a significant part of the expenditure on the purchase of a property may be classified as plant.
Examples of expenditure that may qualify for plant allowances on the purchase of a new or existing building include:
- Air conditioning
- Electrical systems
- Hot and cold water systems
However, following recent changes in tax law it is important to seek our advice before purchasing a building, so that we can help you to maximise the allowances. contact Ayr based IDS + Co for more details.
IDS + Co can help
The help of a qualified firm of accountants can be invaluable when claiming capital allowances. Our expert team of business tax advisers will help you to identify the available reliefs and allowances, and assist the timing of capital expenditure so that you get the optimum tax advantage.
If you intend to invest in your business and want to discuss the impact of capital allowances on your plans, please contact our Ayr branch.