News for Small Fleets
Annual investment allowance (AIA)
Annual investment allowance (AIA) replaced the previous capital allowance system in April 2008 and is effectively a 100% first-year allowance for business expenditure on all assets categorised as plant and machinery, including commercial vehicles.
Prior to April 2010, this allowance enabled fleets to write off expenditure up to £50,000 annually, but Budget 2010 announced that the allowance would double to £100,000 for expenditure incurred from April 2010.
This means that the value of any vans (as well as qualifying plant and machinery) acquired each year up to the value of £100,000 can be fully written off against tax.
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Annual investment allowance (AIA) replaced the previous capital allowance system in April 2008 and is effectively a 100% first-year allowance for business expenditure on all assets categorised as plant and machinery, including commercial vehicles.
Prior to April 2010, this allowance enabled fleets to write off expenditure up to £50,000 annually, but Budget 2010 announced that the allowance would double to £100,000 for expenditure incurred from April 2010.
This means that the value of any vans (as well as qualifying plant and machinery) acquired each year up to the value of £100,000 can be fully written off against tax.
Return to overview page