Full expensing, both the 100% main rate and 50% special rate first year allowances, will be made permanent. This marks a change in UK corporate tax strategy from cutting headline rates to provide more generous investment incentives, with the expectation that this could help boost investment. While Finance Bill 2023/24 will remove the end date for full expensing and give effect to its permanence, the government will also be launching a consultation exercise to determine what broader changes could be made to simplify, condense, or reduce the length of existing capital allowances legislation.
If you are not a subscriber, subscribe now to read this content.
Full expensing, both the 100% main rate and 50% special rate first year allowances, will be made permanent. This marks a change in UK corporate tax strategy from cutting headline rates to provide more generous investment incentives, with the expectation that this could help boost investment. While Finance Bill 2023/24 will remove the end date for full expensing and give effect to its permanence, the government will also be launching a consultation exercise to determine what broader changes could be made to simplify, condense, or reduce the length of existing capital allowances legislation.
If you are not a subscriber, subscribe now to read this content.
.tmb-editorspic.jpg?sfvrsn=df04ab27_1)
