Wear and Tear Allowances

Wear and Tear allowances are the substitute of depreciation and they represent a tax deductible allowance for the wear and tear of assets used in the business. Wear and tear allowances are available to companies and individuals who prepare accounts.

The current wear and tear rates are:

Plant and machinery

Fork lifts, excavators, loading vehicles, bulldozers and oil barrels	25%

Motor vehicles except from private saloon cars	20%

Capital expenditure incurred for electric vehicles, within the tax years 2023-2026	33.33%

Personal computers (hardware) and operating software Application software> up to €1.709 above €1.709	20% 100% 33.33%

Plant and machinery used in agriculture	15%

Water drillings, industrial carpets, video recorders, televisions	10%

Any other plant and machinery. Furniture & Fittings. Plant and Machinery (acquired during tax year 2012-2018)	10% 20% ( unless the rate on such capital allowances is higher)

Buildings

Metallic frame of greenhouses	10%

Wooden frame of greenhouses	33.33%

Industrial, agricultural and hotel buildings Industrial, agricultural and hotel buildings(acquired during tax year 2012-2018)	4% 7%

Commercial buildings	3%

Capital expenditure incurred for improving the energy efficiency of buildings, within the tax years 2023-2026	7%

Ships

Steamships, tug-boats and ships used in the fishing industry	6%

Sailings vessels	4.5%

Ship launching machinery	12.5%

Used ships	in accordance with special agreement

New commercial ships	8%

New passenger ships	6%

Used commercial and passenger ships and capital additions

remaining useful economic life in accordance with the class certificate

Tools

All tools in general	33.33%

Videotapes used by video clubs	50%

Allowances for specialized fixed assets

Armored Cars (used by businesses which provide security services)	20%

Motor Yachts	6%

Wind Generators (the cost should include the cost of installation reduced by any amount of subsidy received)	10%

Photovoltaic Systems (the cost should include the cost of installation reduced by any amount of subsidy received)	10%

New Airplanes	8%

New Helicopters	8%

Specialized machineries for rail roading (e.g. Locomotive engines, Ballast wagon, container wagon and container sleeper wagon)	20%

Capital expenditure incurred for technical energy efficiency systems of buildings, systems renewable energy sources, and Batteries electricity storage, within the tax years 2023-2026,	20%

Intangible assets

Intangible assets with certain exceptions	5%-100%
(The capital cost of any intangible asset, excluding goodwill and assets under the old IP regime, is tax deductible as a capital allowance over the useful economic life of the asset, as determined by acceptable accounting principles (with a maximum useful life of 20 years).)