Most businesses claim capital allowances against their equipment purchases every year without thinking about the tax position.
If you make a trading loss in a given period, then claiming capital allowances in this period effectively removes any tax advantages of making such purchases. Capital allowances offset the purchase of equipment against your trading profit, providing the business with a tax saving, so why claim allowances when there is no tax to pay.
By not claiming allowances this year, you will increase the amount of allowance you claim next year resulting in a greater tax saving at that time.
For more immediate Small business accountants support go to the Small business accountants web page.

