Tax Tables
The information in this tax card is based upon the 2009 Budget and other earlier announcements and may be subject to amendment by the Finance Act.
Capital Allowances
Plant and machinery - Annual Investment Allowance (AIA)
The AIA applies to expenditure incurred on or after 6 April 2008 (1 April 2008 for companies). 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 p.a.
Any costs over the AIA fall into the normal capital allowance pools at either 10% or 20%. The £50,000 limit may need to be shared between
certain businesses under common ownership.
Other plant and machinery allowances
The annual rate of allowance is 20% from 6 April 2008 (1 April 2008 for companies). A 10% rate applies to expenditure incurred on integral features
and on long life assets on or after 6 April 2008 (1 April 2008 for companies). Long life asset expenditure brought forward will obtain the 10% rate.
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 2
009 (1 April 2009 for companies). A 100% first year allowance may still be available on certain energy efficient plant and cars.
Cars
For expenditure incurred on cars on or after 6 April 2009 (1 April 2009 for companies), costs will generally be allocated to one of the two plant
and machinery pools. Cars with CO2 emissions not exceeeding 160 gm/km will receive a 20% allowance p.a. Cars with CO2 emissions over 160 gm/km will receive
a 10% allowance p.a.
Industrial and agricultural buildings and hotels
The annual rate of allowance is 2% (3%) 6 April 2009 (1 April 2009 for companies). Special rules apply for accounting periods straddling these dates.