Main Capital Allowances Tax Rates

Winters Chartered Accountants and Registered Auditors
29 Ludgate Hill
London EC4M 7JE
England, UK

Tel:
+44 (0) 20 7919 9100

Fax:
+44 (0) 20 7919 9019

Capital Allowances

	Writing Down Allowance
Plant and Machinery*	25%#(reducing balance)
Motor Cars**	25% (reducing balance) - £3,000 max
Industrial and Agricultural Buildings and Hotels	4% (straight line)

*For small businesses: first year allowances (FYAs) of 50% for 12 months from 6.4.04 (1.4.04 for companies).
FYAs of 40% from 6.4.05 (1.4.05 for companies).
For medium-sized businesses: FYAs of 40%.
For all businesses: 100% FYAs on expenditure on energy saving plant and machinery.
**100% FYAs on new cars with CO₂ emissions not exceeding 120 gm/km until 31.3.08.
#6% on certain long life assets.

Disclaimer
The information on these tax rates is based upon the 2005 Budget and other earlier announcements and may be subject to amendment by the Finance Act.

If you would like to find out more about our services and how we might be able to assist you, please complete the tax contact form .
We can then have the relevant specialist contact you to briefly discuss your needs. Any such telephone discussion, and of course, any further initial consultation is entirely complimentary.