Is it as good as it seems? Guidance for motor dealers.
The capital allowance super-deduction was announced in the Budget on 3 March 2021 and immediately caught the attention of headline writers as a good thing for businesses and a way to encourage investment. There are however a number of areas that Dealers should consider, in particular which assets and expenditure they can and should claim the super-deduction for, in order to maximise their post-tax profits and plan their cash flow accordingly.
MHA, in conjunction with NFDA, has prepared guidance for dealers including a summary of the new capital allowance reliefs, things dealers should be mindful of, what types of investments qualify and aspects dealers should consider when making a claim.