Writing down allowance for subsequent
years on reducing balance
6%
Energy Saving
Technology
All firms
100%
Cars emitting not
more than 120g/km CO2
Registered 17 April 2002 - 31 March
2008
100%
Buildings
Industrial buildings and qualifying
hotels
4% of
building cost p.a.
Commercial/Industrial buildings in an
enterprise zone
100% of
building cost
Agricultural buildings
4% of
building cost p.a.
Research and Development
100%
Notes
1. Capital allowances enable the cost of capital assets to be written off
against taxable profits. They replace the charge for depreciation in the
business accounts, which is not allowable for tax relief.
2. A small firm is defined as a business that satisfies any two of the
following conditions: (a) turnover £5,600,000 or less (b) assets £2,800,000 or
less (c) not more than 50 employees.
3. A medium firm is defined as a business that satisfies any two of the
following conditions: (a) turnover £22,800,000 or less (b) assets £11,400,000 or
less (c) not more than 250 employees.
