Enhanced Capital Expenditure Carry Back

Can I claim 100% ECA and carry back loss created to previous year, the same way I would with AIA?

Didn't find your answer?

Good morning Panel,

As described, new all-electric car, limited company client, qualifies for 100% Enhanced Capital Expenditure which would augment an otherwise small loss for the year.

I'd like to carry back the entire loss, ECA included, to relieve the previous year's trading profits. Is there anything distinguishing ECA (say from AIA) that might restrict me from doing so? Or am I looking for something that's not there? 

I'm familiar with the mechanics if this were AIA; not so ECA. 

Thanks for listening.

Replies (4)

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By Ruddles
06th Dec 2022 13:40

You're looking for something that isn't there. A trading loss is a trading loss, augmented by capital allowances or otherwise.

Thanks (1)
Replying to Ruddles:
By I'msorryIhaven'taclue
06th Dec 2022 13:51

Thank you, Ruddles I'm much obliged. You're on fire today!

There seems to be so much clutter on the internet regarding EV cars - esp re their tax and VAT eligibility - that it's a job to see the woods for the trees. The question you fielded earlier on another thread is a prime example.

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By Dib
06th Dec 2022 17:05

I liked that it was a limited company car scenario and you were familiar with the mechanics. ;)

Thanks (1)
Replying to Dib:
By I'msorryIhaven'taclue
09th Dec 2022 13:58


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