The Government has replaced super deduction tax with full expensing but has increased the Corporation Tax rate from 19% to 25%. Full expensing means for every £1 your company invests, your taxes are cut by up to 25p. You could also write off the cost of investment in one go.
The government has given a list of some examples of assets which may qualify:
From 1st April 2023 companies with profits over £250k will pay Corporation Tax at 25% and companies with profits between £50k and £250k will pay Corporation Tax at an effective rate of 26.5% on profits within that range.
For example. if you have profits of £250k and spend £200k on furniture etc you will obtain a tax saving of:
(sum: £200k x 26.5% = £53,000)
Do you want to know how this can help you?Contact Us
We know a thing or two about managing an office redesign or fit-out project, and we’re always looking out for ways to help businesses develop and improve their workspaces in the most efficient and productive way possible. Now is the perfect time to reshape an office that matches your vision to take advantage of the new full expensing tax rules.