Chancellor plays to the business audience

George Osborne has revealed a surprise boost for businesses with a tenfold increase to the Annual Investment Allowance (AIA) and a further reduction to corporation tax.

The huge increase in AIA, up from £25,000 to £250,000, was announced during the Autumn Statement this afternoon and comes as a massive uplift for small and medium-sized British businesses.

Lesley Stalker, head of tax at Robert James Partnership, said during our live panel debate that the increase in AIA was “fantastic news” and she was “off to share the news about the AIA with our clients”.

The capital allowance will be increased for a two year period starting from 1 January 2013.

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Comments
dialm4accounts's picture

Is AIA increase for everyone?

dialm4accounts | | Permalink

The full Autumn Statement report lists the AIA temporary increase in "allowances from corporation tax".

Does that mean it only applies to businesses that pay corporation tax - so broadly, limited companies only?

M

Why was the AIA ever cut in

0098087 | | Permalink

Why was the AIA ever cut in the first place. Major error in planning by this government