Critics have pointed out that cuts in the main rate of corporation tax have not benefited smaller companies, some of which have been worse off as a result of recent changes to the capital allowances
MoneyBee Tax estimates that, on average, for every 100,000[pounds sterling] spent on premises, capital allowances
could be claimed on around 30% of it.
While enhanced capital allowances
would be less suitable for the financial services-based enterprise zone at Cardiff's Central Business District, they could prove extremely useful in attracting investment to locations such as the automotive enterprise zone at Ebbw Vale.
The research showed that capital allowances
were the most well-known of the initiatives (41%), followed by government investment incentives (36%), R&D relief (30%) and entrepreneurial relief (28%).
Mrs Hart said: Deeside is of great strategic importance to Wales for advanced manufacturing, Enhanced Capital Allowances
will cement its competitive position and encourage new investment.
Businesses have called for a time-limited capital allowance
scheme for medium-sized companies, allowing them to offset investment in plant, machinery and buildings against corporation tax.
Key priorities include introducing a two-year temporary increase in capital allowances
, a pledge to remove the Carbon Price Floor by 2015 and avoiding increasing the Carbon Price Support.
Chapters address income tax computation; taxation of trading income; capital allowances
on plants and machinery; industrial buildings allowance and other allowances; basis periods; trading losses; property income; employment and self-employment; benefits in kind; national insurance contributions; pensions; capital gains tax; corporation tax; incorporation, disincorporation, and choice business medium; special classes of taxpayers; and partnerships.
However, some business owners are concerned that, together with the impact of the 2.5% VAT increase and reductions in capital allowances
, it could still prove to be a barrier to taking on staff.
The certificate has enabled Jaspers to claim 100 percent First-Year Enhanced Capital Allowances
(ECA) on the capital cost of the system.
You cannot deduct capital expenditure in working out taxable profits but some relief may be due in the form of Capital Allowances