Up until 31st December 2020, SMEs can take advantage of the Annual Investment Allowance (AIA) for machinery investments between £200,000 – £1m, which includes air conditioning and refrigeration.
The scheme, which was introduced by the government in 2008, was granted a 2-year extension earlier this year, helping even more businesses invest and grow. It allows businesses to write off 100% of qualifying capital expenditure against taxable profits for the same period.
Despite the obvious business benefits of this scheme, according to a survey by Close Brothers Asset Finance, a staggering 58% of SMEs are completely unaware of the AIA increase, with just 13% of companies planning to significantly increase investment this year.
How we can help
AIA is available for most assets purchased by a business, including tools, vans, machinery, computers, as well as air conditioning systems and refrigeration equipment.
To find out more about the scheme and how you can benefit, click here.
If you are thinking of installing or replacing old air conditioning systems and refrigeration equipment in your facility, now is an incredibly tax-efficient time to do it. Contact us today on 0844 967 0573 to discuss your requirements.