The recently published independent report “Mission Zero” calls for a review of the tax incentives, including capital allowances, before Autumn 2023. It is wide ranging from incentivising those who innovate, and those businesses who invest in upgrading capital equipment.
The report stated that 53% of businesses plan to claim the super deduction, before the time window ends in March, demonstrating the use of tax incentives. In the responses to the call for evidence, the report notes extending the first year allowances.
Have we seen this before, with Enhanced Capital Allowances (ECAs), which were abandoned in April 2020?
Capital Allowances experts employed by large companies did claim ECAs, but for SMEs the process was time consuming and complicated. This is one of the reasons that we at Veritas are developing Artificial Assisted intelligent software, together with the help of government funding, Innovate UK, and Brunel University, to easily capture the right data and assist SMEs and their accountants in taking advantage of the tax incentive.