Crawley, West Sussex has become a hub for businesses of all sizes. With Gatwick Airport on the doorstep and excellent transport links to London, Crawley offers unique opportunities for companies looking to establish or expand their operations. 

However, navigating Crawley's various business zones can be tricky…

This guide aims to shed light on the tax implications for businesses operating in different areas of Crawley.

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Manor Royal Business District

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Manor Royal is Crawley's premier business district and one of the largest business parks in the South East. It's home to over 600 businesses and employs approximately 30,000 people.

Business Rates

Businesses operating in Manor Royal may be eligible for business rates relief. The local council offers various schemes to support businesses, including:

• Small Business Rate Relief: Available for properties with a rateable value less than £15,000
• Enterprise Zone Business Rates Discount: Businesses moving into designated areas may qualify for up to £55,000 per year in business rates discount for up to five years

Corporation Tax

While corporation tax rates are set nationally, businesses in Manor Royal could benefit from enhanced capital allowances. These allow companies to claim 100% first-year tax relief on qualifying plant and machinery investments.

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Crawley Town Centre

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Crawley's town centre is undergoing significant regeneration, making it an attractive location for retail and service-based businesses.

Retail Relief

Retail businesses in the town centre and Crawley’s County Mall may be eligible for Retail Relief, which can provide a discount on business rates for occupied retail properties.

VAT Considerations

Businesses in the town centre should be aware of specific VAT rules that may apply to them:

• Flat Rate Scheme: Smaller businesses with turnover up to £150,000 can simplify their VAT accounting
• Cash Accounting Scheme: Businesses with turnover up to £1.35 million can account for VAT based on payments received and made, rather than invoices issued and received

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Gatwick Diamond

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The Gatwick Diamond is a business region that includes Crawley and surrounding areas. It offers unique tax considerations for businesses in aviation and related industries.

Research and Development (R&D) Tax Credits

Companies in the Gatwick Diamond engaged in innovative projects may be eligible for R&D tax credits. This can provide substantial tax relief for qualifying expenditure.

Capital Allowances for Airport-Related Businesses

Businesses directly supporting Gatwick Airport operations may be eligible for specific capital allowances on qualifying plant and machinery used in airport-related activities.

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Three Bridges

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Three Bridges, with its excellent rail connections, is becoming an increasingly popular location for businesses. It’s also home to the best accountancy firm in Crawley, Curve Accountancy!

Employment Allowance

Businesses in Three Bridges could take advantage of the Employment Allowance, which allows eligible employers to reduce their annual National Insurance liability by up to £5,000.

Apprenticeship Levy

Larger employers with an annual pay bill over £3 million must pay the Apprenticeship Levy. However, they can use these funds to finance apprenticeship training, which can be particularly beneficial for businesses in Three Bridges looking to develop local talent.

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Tilgate

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Tilgate, known for its beautiful park and nature reserve, is home to various small businesses and start-ups.

Seed Enterprise Investment Scheme (SEIS)

Start-ups in Tilgate may be eligible for the SEIS, which offers tax reliefs to individual investors who purchase new shares in the company. This can be an excellent way for new businesses to attract investment.

Business Asset Disposal Relief

Formerly known as Entrepreneurs' Relief, this scheme allows business owners to pay a reduced rate of Capital Gains Tax when they sell all or part of their business. This can be particularly relevant for small business owners in Tilgate looking to sell or retire.

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Maidenbower

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Maidenbower, a newer residential area in Crawley, has seen growth in home-based businesses and small start-ups.

Home Office Deduction

Businesses operating from home in Maidenbower can claim a proportion of their household expenses as a business cost. This includes a percentage of utility bills, council tax, and even mortgage interest or rent.

Annual Investment Allowance (AIA)

The AIA allows businesses to deduct the full value of qualifying plant and machinery up to a certain limit. For 2023, this limit is set at £1 million, which can provide significant tax relief for businesses investing in equipment.

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Pound Hill

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Pound Hill, with its mix of residential and commercial areas, offers opportunities for various business types.

Patent Box

Tech companies or innovative businesses in Pound Hill may benefit from the Patent Box scheme. This allows companies to apply a lower rate of Corporation Tax to profits earned from patented inventions.

Creative Industry Tax Reliefs

Businesses in creative sectors such as film, animation, or video games development may be eligible for specific tax reliefs designed to support these industries.

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Northgate

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Northgate, home to Crawley Hospital and several healthcare-related businesses, has its own set of tax considerations.

VAT Exemptions for Healthcare Services

Many healthcare services are exempt from VAT. Businesses in Northgate providing healthcare services should carefully review their VAT obligations and potential exemptions.

Capital Allowances for Medical Equipment

Healthcare businesses may be able to claim enhanced capital allowances on certain types of medical equipment, reducing their tax liability.

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Conclusion

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Understanding Crawley's various business zones is crucial for maximising your company's financial efficiency. 

At Curve Accountancy, we specialise in helping businesses in Crawley optimise their tax strategies. If you’re a business in Crawley or looking to move to Crawley, we can help you make the right decisions thanks to our local knowledge and wide network.

You can give us a call on 01293 782800 or fill out our contact form and book in a chat.