Scottish distilleries to receive boost from new tax allowances


The accountancy and business advisory company estimated that its team had assisted with such a total value of deals in the distilling industry in the past year, successfully identifying capital allowances of between 40 per cent and 60 per cent for seven completed distillery projects north of the Border.
It said the number of new and refurbished distilleries gearing up for launch will continue to climb as the sector benefits from the rising popularity of craft drinks, with ten new gin distilleries set to open in 2019.
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Hide AdThe introduction of the Structures and Buildings Allowance, which was announced in the autumn Budget and gives a flat rate 2 per cent allowance on eligible construction costs, will further increase the levels of allowances available to distilleries next year.
Michael Murray, partner at Johnston Carmichael, said: “Capital allowances is a complex area of UK tax legislation, but the benefits can be significant.
“The recent changes to the capital allowances legislation, introduced in the autumn Budget, will further increase the levels of allowances available which is very positive for all new developments.”