Tax Reliefs
There are a number of tax reliefs which may be beneficial to companies based in or looking to relocate to the Portsmouth city region.
Business premises renovation allowance Businesses that own premises which have not been in use but which are to be brought back into use can, via first-year capital allowances, claim a 100% deduction of all capital costs incurred in converting or renovating business premises. The properties must be located in designated disadvantaged areas and have been empty for at least a year.
Energy-saving and environmentally beneficial plant and machinery If a business has to purchase certain plant and machinery, for example boilers, lighting, refrigeration equipment, pipework insulation, or plant and machinery which provides sustainable water use, enhanced capital allowances entitling the business to a deduction of 100% of the expenditure on such items can be claimed. The expenditure must be on items which meet strict energy-saving criteria.
Business rates relief If a property owned by a business becomes empty then empty rates relief can be claimed for six months on empty industrial properties or three months for empty commercial properties. In addition, empty properties with a rateable value of up to £18,000 are exempt from business rates for the 2010/11 tax year. Also, for one year from October 2010, properties with a rateable value of up to £6,000 will pay no business rates with rate relief taper being available for properties with a rateable value of up to £12,000.
