Has your company recently purchased energy efficient equipment?

Did you know you may be entitled to additional tax relief?

Normally when a company purchases a capital asset the cost of the asset is claimed as capital allowances over the next 12 years, and in some cases may not even qualify for capital allowances. However, in the 2008 Finance Act Accelerated capital allowances of 100% in year of the expenditure incurred on the purchase of energy efficient equipment was introduced.

In order to qualify for these the following condition must be met:

  • Allowances are available to companies only.
  • Energy Efficient Equipment must be new.
  • The equipment must meet an energy efficient criteria and fall within one of the 10 classes of technology as listed in point 4.
  • The company is required to incur a minimum amount of expenditure on the equipment as follows:

    1. Motors and Drives – €1,000
    2. Lighting- €3,000
    3. Building Energy Management Systems – €5,000
    4. Information and Communications Technology – €1,000
    5. Heating and electricity provision – €1,000
    6. Process and heating ventilation and air-conditioning control systems – €1,000
    7. Electric and Alterntive Fuel Vehicles – €1,000
    8. Refrigeration and cooling systems – €1,000
    9. Electo-mechanical systems – €1,000
    10. Catering a hospitality equipment – €1,000

This scheme is available until the 31 December 2014.

If you have any further queries please do not hesitate to contact us.

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