UK tax rates, allowances and reliefs
ICAEW’s Tax Faculty provides links to help practitioners find the latest tax rates, allowance and reliefs.
Capital allowances
Access expert commentary and practical guidance from ICAEW on capital allowances within the UK tax regime
Need to know
In this section
Practical guidance
ICAEW's Tax Faculty produces TAXguides to provide practical support on technical areas of tax.
TAXguide 13/21 Capital allowances: super deduction and 50% special rate allowance
The super deduction, special rate allowance and extension of the uplifted annual investment allowance, were discussed by Steve Watts and Richard Jones in a Tax Faculty webinar on 14 June 2021. This TAXguide provides answers to questions raised in that webinar.
TAXguide: 06/20 Spring Budget 2020
Rishi Sunak delivered his first Budget of 2020 on 11 March. The Tax Faculty provides its summary of all the key tax announcements in this TAXguide.
TAXguide 11/19: Capital allowances update
This TAXguide will cover the key changes to the capital allowances regime since Tax Practice supplement 21 on the subject in September 2008.
TAXguide 15/18: The cash basis for traders and landlords
In this practical TAXguide Sarah Bradford, director of Writetax and editor of Small Business Tax and Finance, explores the cash basis of assessment as it applies to traders and landlords. Read a summary here, Tax Faculty members can download the full guide.
TAXguide 04/14
Renewals basis for unfurnished rental property.
Features and articles
L-Day 2021: draft legislation for consultation, but more to come
Draft legislation, consultation updates and promises of future tax measures were made on 20 July. The focus for many will be on basis period reform, but ICAEW’s Tax Faculty highlights the other key announcements.
The Finance Act 2021 impact on owner-managers
Finance Act 2021 introduces changes to corporation tax rates and loss carry-back rules relevant to both companies and unincorporated business owners. Andrew Constable and Richard Jones consider some of these changes, and their impact on the decisions of owner-managers.
The plan for UK freeports
Richard Jones assesses the recently announced tax incentives available for freeports around the UK.
March 2021 Budget
Richard Jones considers the various March 2021 Budget announcements affecting company tax computations.
Budget 2021 – calm before the storm?
A summary of how this year's Budget will affect the Farming & Rural Business Community.
ICAEW calls for extension of super-deduction to leasing assets
ICAEW’s Tax Faculty has written to MPs highlighting that assets purchased with a view to leasing to third parties do not qualify for the new super-deduction or special rate first- year allowance for capital allowances purposes.
Analysing Sunaks budget
A deeper look at the what the budget means for business
New law: Businesses considering benefits of establishing in new Freeport areas in England
Businesses and civil society organisations are investigating the pros and cons of setting up in eight new Freeports announced for England.
Webinars and recordings
Business tax update
The latest key tax rules and reliefs affecting business.
Capital allowances
This webinar provides illustrative examples and practical tips on how to maximise capital allowances and take advantage of the reliefs available.
Bloomsbury Core Accounting and Tax Service
Eligible firms have free access to Bloomsbury Professional's comprehensive online library, comprising more than 60 titles from some of the country's leading tax and accounting subject matter experts. Find out who is eligible and how you can access the Core Accounting and Tax Service.
Capital allowances
Chapter containing practical advice on capital allowances in relation to incorporating a business.
Capital allowances (plant and machinery)
Expert commentary on the current UK corporation tax legislation on capital allowances for plant and machinery.
Capital allowances on plant and machinery
Guidance on capital allowances for plant and machinery, highlighting tax planning opportunities and potential pitfalls.
Capital allowances on property transactions
Guidance on capital allowances on property transactions, highlighting tax planning opportunities and potential pitfalls.
Terms of use: You are permitted to access, download, copy, or print out content from eBooks for your own research or study only, subject to the Acceptable usage terms.
eBooks
The Library & Information Service provides a collection of eBooks as a benefit of membership. Please log in to access these titles. If you are unable to access an eBook, please see our Help and support or contact library@icaew.com.
Chattels and wasting assets
Explains the nature of chattels and wasting assets as defined by the Taxation of Chargeable Gains Act 1992. Shows where capital allowances are available using a reference table and a worked example.
Trading income
Explains how corporation tax applies to trading income and the ways in which it differs from income taxation. Covers the annual investment allowance, first-year tax credits and capital allowances for plant and machinery.
Capital allowances on plant and machinery
An outline of allowances for small businesses provided under the Capital Allowances Act 2001. This chapter covers business premises renovation allowance, qualifying expenditure, qualifying building, and other relevant matters.
Terms of use: You are permitted to access, download, copy, or print out content from eBooks for your own research or study only, subject to the terms of use set by our suppliers and any restrictions imposed by individual publishers. Please see individual supplier pages for full terms of use.
Representations
ICAEW REP 35/21 Finance (No.2) Bill - super deduction
Briefing submitted to MPs on 12 April 2021 on Finance (No.2) Bill 2019-21 published by government on 11 March 2021 on clause 9 which relates to super-deductions and other temporary first year allowances.
ICAEW REP 34/21 Tax after Coronavirus
A response dated 13 April 2021 to a consultation published by TSC on 1 March 2021.
ICAEW REP 46/19 - Capital allowances for structures and buildings
A response dated 24 April 2019 to a consultation published by HMRC on 13 March 2019.
ICAEW REP 21/19 - Capital allowances for structures and buildings
A response dated 4 February 2019 to a consultation published by HMRC on 29 October 2018.
Further support
Useful links
Some resources that we link to may pre-date the latest amendments to the relevant tax regulations. While these links contain useful information, please treat them with appropriate caution.
What capital allowances can I claim?
Summary from the Low Incomes Tax Reform Group which explains what capital allowances are and how to claim them.
Capital Allowances Manual: Research and development allowance (RDA)
HMRC internal manual providing guidance on the meaning of research and development, qualifying expenditure, allowances and charges, disposal events and disposal values, demolition costs, and additional VAT.
Business tax: Capital allowances
Extensive collection of HMRC guidance on claiming and working out your capital allowances.
Capital Allowances Manual
Internal HMRC manual which defines capital allowances, explains how allowances are made and how to claim.
Capital allowances training
A series of short online presentations on capital allowances presented by Ray Chidell, a renowned author on the topic. The talks cover a whole spectrum of capital allowances issues, from fixtures and integral features to the definition of plant and the claiming of allowances, using examples to demonstrate how the rules work out in practice.
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