Capital Allowances: Plant and Machinery Allowances: Integral Features and Thermal Insulation - May 2008
Businesses investing in certain assets may be affected and will therefore be able to write off costs of some capital against their taxable income.
Legislation will be introduced to provide a new classification of "integral features" of a building, expenditure which will attract allowances for tax relief at 10% a year. A shortlist of the integral features affected will be available to assist classification.
The new classification will also include two features of a building that have environmentally beneficial qualities, which would not normally qualify for plant and machinery allowances. Allowances for the thermal insulation of existing industrial buildings will be extended to expenditure on the thermal insulation of all existing buildings, used for any qualifying business purpose, other than residential property businesses at a new 10% rate for relief.
These changes will have effect in respect of expenditure incurred on or after 1st April 2008 for businesses within the charge to corporation tax and 6th April 2008 for businesses within the charge to income tax.
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