The Isle of Man Treasury has simplified the value-added tax Capital Goods Scheme, reducing the assets subject to adjustments for VAT claimed on high-value capital expenditure. From July 29, 2026, computers and computer equipment are excluded regardless of value, while the expenditure threshold for land, buildings and civil engineering works rises from GBP 250,000 to GBP 600,000, excluding VAT. The revised rules apply to capital expenditure incurred on or after July 29, 2026. Assets that entered the scheme before that date remain subject to the previous rules.
The Treasury (Isle of Man)2026-07-29
Isle of Man Treasury simplifies VAT Capital Goods Scheme, excludes computer equipment and raises property threshold to GBP 600,000
The Isle of Man Treasury has excluded computers and computer equipment from the VAT Capital Goods Scheme and raised the threshold for land, buildings and civil engineering works to GBP 600,000, excluding VAT. The changes apply to expenditure incurred from July 29, 2026, while existing scheme assets remain under the previous rules.