Tax saving and extra discount offer on CAPEX
15 Dec 2021
The UK government has launched a super-deduction tax allowance making it a good time to consider making additional plant and machinery investments. Loma has also added additional incentives to benefit customers.
It has never been a better time to consider investing in new capital expenditure for financial savings. Responding to the impact of Covid, as of 1 April 2021, the UK government launched the super-deduction tax allowance easing the pressure with tax savings over and above the allowance already in place.
As a business this means for qualifying expenditures incurred from 1 April 2021 up to and including 31 March 2023 you can claim 130% first-year capital allowances on qualifying plant and machinery investments, offering money off your tax bill. The initiative is available to companies that pay corporation tax. The tax benefit applies to new plant and machinery, with second-hand, used or refurbished equipment excluded.
How much tax can be saved?
A company spending £50,000 on new inspection equipment, can claim a super deduction of £65,000 (130%), amounting to a tax saving of £12,350 (at a corporation rate of 19%).
As a further incentive to businesses, Loma is offering a further 10% discount off orders placed on or before 31 December 2021.
Businesses are also encouraged to consider as of April 2023 the rate of corporation tax has been confirmed to increase from 19% to 25%. Therefore, an investment of £50,000 will cost you £12,500 as a tax cost from April 2023.
Loma's UK Sales Director, Mark Jackson-Nichols says: “The super-deduction is hugely beneficial for inspection equipment investment, making now an ideal opportunity for business to invest in their factory’s efficiency. At Loma we have gone a step further in supporting our customers with an additional 10% discount off orders available up to the end of 2021. Whether you are able to invest this year or in 2022, talk to us for guidance in understanding the full efficiency and tax benefits, helping in prepare your investment plans.”
To submit a business enquiry or to know more about the time-limited offer contact us.
For information on super-deduction, see the government website here https://www.gov.uk/guidance/super-deduction.