Are you planning any development projects for 2023? Don’t miss the 31st March deadline

The Super Deduction, a temporary UK tax incentive introduced in April 2021, is set to expire at the end of March 2023. This measure has been a key part of the UK government’s efforts to boost investment and support businesses in the wake of the COVID-19 pandemic.

Under the Super Deduction, companies that invest in qualifying plant and machinery assets can claim a 130% tax deduction, effectively reducing their tax bill. This has provided a significant financial boost for our agricultural clients who are investing in green technologies such as AD Plants.

However, with the deadline for the Super Deduction fast approaching, businesses need to act quickly if they want to take advantage of this opportunity. Companies that invest in plant and machinery assets before the end of March 2023 will be able to claim the full 130% tax deduction, while those that wait until after this date will miss out on the opportunity to claim tax relief against their enhanced capital expenditure.

Given the potential benefits of the Super Deduction, it is important that businesses consider the impact of this expiration on their finances and take action accordingly. Whether they decide to invest in new equipment, technology or other qualifying assets, now is the time to do so in order to maximize the potential tax benefits.

In conclusion, the Super Deduction represents a valuable opportunity for UK businesses to support their growth and investment in the short-term, but the clock is ticking and businesses must act fast to take advantage of this measure before it expires.

For companies that have already spent money on Property improvements, extensions and invested in new qualifying Plant and Machinery since April 2021 its important you claim this relief before the time runs out. Expenditure that qualifies must be claimed within 2 years, otherwise you lose the additional 30%.

For advice on how best to utilise this incentive please get in touch with Freddie Page of RCK Partners – fpage@rck.partners