With the recent introduction of a new and increased Annual Investment Allowance, the next few years seem the optimum time for UK businesses to consider investing in new plant machinery for maximum tax benefits.
The Annual Investment Allowance (AIA), which was set to be reduced from its temporary figure of £500,000 to a mere £25,000 will, from 1st January 2016, be set at a figure of £200,000 – a U-turn that is the sure to delight businesses and entrepreneurs throughout the UK.
The Annual Investment Allowance or AIA is a type of tax incentive for UK businesses. Knowing how it works and how to use it effectively could save you a significant amount when it comes to your tax bill at the end of the financial year.
