This tax information and impact note covers the reduction of the main rate of writing-down allowances and the increase to the main rate first-year allowance.
This measure reduces the main rate of writing-down allowances to 12% from:
- 1 April 2027 for Corporation Tax
- 6 April 2027 for Income Tax
It also increases the rate of the main rate first-year allowance from 40% to 50% for expenditure incurred on or after 1 January 2027.