The End of the Super-Deduction
![The End of the Super-Deduction](https://whitingsllp.co.uk/wp-content/uploads/2023/06/AdobeStock_221947560-scaled-e1686842527746.jpeg)
The Super-Deduction isn’t so super if your Company’s accounting year end is after 31st March 2023!
Between 1st April 2021 to 31st March 2023, Companies have been able to benefit from a new 130% first year capital allowance for investing in new plant and machinery.
For Companies that have purchased qualifying assets before 31st March 2023 but have an accounting year end after 31st March 2023 will have their Super-Deduction rate reduced based on the number of days falling inside the qualifying period.
For example, if a Company’s accounting year ends on 30th September 2023 they will only be able to benefit from 115% Super-Deduction for assets purchased in their qualifying period i.e. 31st October 2022 to 31st March 2023.
If you would like to discuss your specific situation, contact your local Whitings office today.
Disclaimer - All information in this post was correct at time of writing.