Sarah Bradford looks at the options for relieving capital expenditure following the announcement that full expensing is to be made permanent.
The capital allowances system offers a variety of ways for relieving capital expenditure. While some ‘menu’ items, such as the annual investment and writing down allowances, are available to unincorporated businesses and companies alike, other items (e.g., full expensing and the 50% first-year allowance) are only available to companies.
With the Autumn Statement 2023 announcement that full expensing and the 50% first-year allowance are to be made permanent, this article looks at the different claims and the factors that need to be taken into consideration to ensure that relief for capital expenditure is maximised.
Annual investment allowance
The annual investment allowance (AIA) is arguably the most useful
