25.06.10
Emergency budget - capital allowances update
Despite all of the talk before hand, there have been only small changes to the rates of writing down allowance to go with the reduction in the rate of Corporation Tax. The good news being that there have been no further changes to Capital Allowances on Holiday properties. There has been no more clarification on the status of Student Properties though.
The key changes are;
. Corporation Tax to reduce by 1% per annum over 4 years starting in April 2011.
. The small Business rate will reduce to 21% from April 2011.
. The main pool rate of writing down allowance will reduce to 18% from April 2012.
. The special rate pool rate of writing down allowance will reduce to 8%
from April 2012.
. The Annual Investment Allowance will reduce to £25,000 from April 2012.
For more information on this issue, email our helpline@ca-4.co.uk
or call 01905 619224.