The super tax deduction scheme was introduced on 1st April 2021 and is for companies purchasing capital assets that will be entitled to 130% tax relief on the first year. The scheme is designed to provide much quicker tax relief on investments up to the value of £1million.
Putting that into context for every £1 invested a business can reduce its tax bill by 25p so if an investment is made for £100,000 on new assets, then the business will be entitled to claim a capital allowance of £130,000.
For any business looking to invest in their assets, then the super tax deduction scheme is a must. Obviously, the key element will be to have the funding available for purchasing the items required, this is where asset finance can be utilised. Asset finance is incredibly diverse and can be used for purchasing office equipment, manufacturing machinery, agricultural machinery and much more. A finance deal will allow you a cash injection to purchase the asset and then a repayment structure to suit your business needs.
When the asset finance deal is secured, and the assets are purchased you can then apply for the super tax deduction. It really is that simple.
To find out more about asset finance and the super tax deduction scheme please call us on 01993 706403 or e-mail email@example.com.