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Enhanced Capital Allowances (ECAs)

Tax breaks and loans for going green - Envos can advise on eligibility for Enhanced Capital Allowances.

Investment in new plant and machinery can be made tax efficient by choosing equipment that is either energy or water saving. Taxpayers can claim an enhanced capital allowance if certain criteria are met.

Enhanced Capital Allowances (ECAs) enable a business to claim 100% first-year capital allowances on their spending on qualifying plant and machinery. There are three schemes for ECAs:

  • Energy-saving plant and machinery
  • Low carbon dioxide emission cars and natural gas and hydrogen refuelling infrastructure
  • Water conservation plant and machinery

Capital Allowance Claims

Tax liability and cash flow. These are two areas that are a constant concern for all businesses. Yet at a time of extreme economic pressure, the vast majority of property owners are potentially sitting on an unknown cash flow injection and substantial tax credit.

Case studies show unclaimed allowances of over 80% of the total available and almost all properties have had less than half their entitlement claimed. A recent study of an hotel showed an eligibility of £270,000 in capital allowances of which £242,000 had not been claimed.

Most claims are done on a NO WIN - NO FEE basis. Envos can do some simple checks on any potential claim at no cost to evaluate eligibility.

Please download our fact sheet for more information