Government Enhanced Capital Allowance Scheme

Spread the love

Claim Up To 26% back on the purchase price of qualifying scrubber dryers

How the Scheme Works

The incentive to companies purchasing this equipment is in the form of attractive Enhanced Capital Allowances (ECA) against corporation tax.

The ECA scheme allows the whole cost of qualifying equipment to be claimed against tax in the first year. For larger companies the main rate of corporation tax is 26% so this means that for scrubber dryers that qualify as water efficient the purchasing company save 26% on the cost of the machine in the form of tax allowance. For smaller companies this rate is still a significant 20%.

The key features of the scheme

  • All businesses are now able to claim enhanced capital allowances, regardless of size, industrial or commercial sector or location.
  • Enhanced capital allowances permit the full cost of the investment to be relieved for tax purposes against taxable income of the period of the investment.
  • Only investments in new and unused plant and machinery can qualify.
  • The list of qualifying machinery is updated regularly.

For more details about the scheme and to check out the up-to-date list of qualifying products please visit and select “water” on the left hand menu.

Sharpe Maintenance

About Sharpe Maintenance

Safecontractor, BICS, PCI DSS compliant