How the Capital Super Deduction Tax Incentive Scheme can help towards the cost of installing EV chargers at your business

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Did you know that if you install an EV Charging solution at your business you can avail of the Capital Deduction Tax Incentive Scheme?

The super-deduction offers 130% first-year relief on qualifying main rate plant and machinery investments until 31 March 2023 for companies. Under the super-deduction, for every pound your company invests, their taxes are cut by up to 25p.

The scheme was put in place from 1st April 2021and runs until the 31st March 2023. The measure was introduced to stimulate businesses investing in new plants and machinery and overall, the measure was introduced to promote economic growth.

What investments are eligible for the scheme?

The great news is that EV charge points are eligible for the scheme. According to the government website, it states that the kinds of assets which may qualify for either the super-deduction, but are not limited to:

Electric vehicle charge points
Solar panels
Computer equipment and servers
Tractors, lorries, vans
Ladders, drills, cranes
Office chairs and desks,
Refrigeration units
Compressors
Foundry equipment

So, for example, if you spend £10,000 on an EV charging solution at your business, you should be entitled to claim £13,000 capital allowances on your annual tax return.

Having electric vehicle charge points on your premises can provide many benefits. When businesses offer on-site charging, they attract and retain employees and customers. EV charge points also demonstrate your company’s brand values with commitment to a cleaner environment.

You can find more information on the scheme here.