Planned Large CapEx? HMRC extend Annual Investment Allowance

16th November 2020

Those businesses that have large capital expenditure spends each year, such as manufacturers and farmers, will be aware that there has been a very generous capital allowances tax regime in recent years, currently allowing year 1 tax relief on eligible purchases up to £1m pa. This generosity was scheduled to be reduced wef 1 January 2021, with a reduction in the Annual Investment Allowance from £1m to £200k. In a move presumably intended to prime the economy as we struggle out of the pandemic, and hold off recession, the Treasury has now announced that they will delay this change until 31 December 2021.

 

This is viewed as a welcome change for larger SME’s, and presumably also for those businesses that manufacture and sell plant and machinery.

Other items in Agriculture
Louise Bassett
21st February 2024 How is the government supporting farmers?

Let’s ask the question, ‘How is the government supporting farmers?’   DEFRA shared a press release from the Prime Minister yesterday, citing his and his party’s commitment to farmers and rural communities.   We already know that Sustainable Farming Incentive (SFI) and Countryside Stewardship payments are being increased across the board by approximately 10%, but…

James Cater
18th January 2024 Farming Group Newsletter – Issue 23

Over And Out   This will be the final Agricultural Newsletter produced during my tenure as Chair of our Farming Group and it would not be right if taxation was not considered in at least one contribution. Mike Blackledge provides for this with a review of the consequences of multiple rates of Corporation Tax where…

Liz Simpson
10th October 2023 Sick Pay: Farming Industry

The Farming Industry has some marked differences is sick pay legislation, PAYE regulations don’t pay sick pay over the statutory daily rate currently standing at £21.88 per day and commencing from the 4th consecutive day of absence. Statutory Sick Pay (SSP) is payable for the first 28 weeks of sickness, after which the employee can…

James Cater
18th July 2023 Farming Group Newsletter: Issue 22

Sticks and Carrots – No Change Then Over recent years farmers have been incentivised periodically to change their crop choices. We have had ‘yellow years’ as Oilseed Rape coloured our landscape and ‘blue years’ when Linseed was dominant. I suspect that ‘green years’ may be the next favoured colour and I’m not just thinking of…

Ian Piper
3rd May 2023 Tax traps: Beware

With the UK tax system as complicated as ever, there are certain rules which we come across that can very easily give a particularly unexpected (and unpleasant) consequence. Income Tax When either parent has taxable earnings over £50k (after personal pension contributions), entitlement to child benefit is reduced. As higher rate income tax starts at…

Louise Bassett
8th April 2023 Agricultural Subsidies – Key Dates

As the online application process for the 2023 Basic Payment Scheme opens tomorrow, and the application process for Countryside Stewardship (Higher Tier) is already open, please find a summary of the key dates for agricultural subsidies below. Basic Payment Scheme: 14th March 2023 – applications open 15th May 2023 – applications close 9th June 2023…