Have you heard about super-deduction?
Are you aware of this temporary tax relief that the Government has introduced to help small businesses. It runs out in March 2023 so if you want to use it you will need to move fast. The government have introduced this to encourage business to invest now to help stimulate growth and recovery following the economic disruption caused by the pandemic.
How does it work ?
- When certain equipment such as computers are purchased, you can claim up to 130% Capital Allowance.
- If you spend £1,000 on computer equipment, and you have made a profit, it will reduce your corporation tax bill, as if you had spent £1,300.
- For the next few months buying more computer equipment is more tax effective.
- This will expire in March 2023, but you will need to act quickly, speak to your accountant now !
- Some computer equipment has been in short supply due to the worldwide chip shortage and the aftereffects of the pandemic. Please don’t leave ordering your equipment until the last minute as there may be a lead time to supply your chosen make and model.
- We suggest that you seek professional advice on the Tax aspect of this benefit, but if you would like further information HMRC have provided a summary here
At Bespoke we have a knowledgeable team ready to assist you purchase your new hardware and take advantage of the super-deduction. Contact Us Here