Enhanced Capital Allowance Scheme
The Enhanced Capital Allowance (ECA) scheme was introduced by the UK government to encourage invetsment in energy efficient products by businesses. The core of the scheme is to allow businesses to claim the full tax allowance for energy efficient equipment in the first year after purchase rather than by spreading the allowance over several years. The may also include the cost of installation.
Th Carbon Trust has drawn up the Energy Technology List which details over 6,000 products that meet the UK government’s efficiency criteria. The list is available at http://www.eca.gov.uk/etl.
Who Can Claim Allowances?
Any business that pays either Income Tax or Corporation Tax can claim the enhanced tax allowances against the products on the Energy Technology List. The enhanced allowances apply to outright purchase and lease purchase by the end user of the products. The allowances can be claimed against the cost of the product and costs directly associated with provisioning the product.
Which Mitsubishi Products Can I Claim Allowances For?
3 categories of Mitsubishi product currently qualify for the tax allowances:
- Variable Speed Drives (Cooling Only VRF Systems)
- Air to Air Energy Recovery (Lossnay Ventilation Systems)
- Heat Pumps
Please contact KSR for further information on Mitsubishi products and the ECA scheme.
KSR supply, install and maintain products from Mitsubishi Electric. Mitsubishi are recognised as one of the top 5 companies in the world for their sustainable environment policy. Mitsubishi Electric is investing heavily in the investigation of the use of renewable energy sources for their products.