The deadline is looming for millions of businesses in the UK if they want to take advantage of a special IT tax break warns the South West's largest independent accountancy firm.

According to Kevin Slevin, tax partner at Solomon Hare, many businesses have until March 31, 2004 to purchase information and communications technology equipment if they want to write off immediately the full cost against tax.

The tax break was announced in March 2000 by Gordon Brown as part of his Budget Day speech as a short term incentive to help small businesses invest in information technology.

Small businesses must meet at least two of the following requirements:

a turnover of not more than £2.8 million,

a balance sheet asset total of not more than £1.4 million

or not more than 50 employees to qualify for this tax break.

These thresholds are currently under review. The tax initiative allows businesses that meet the above requirements to write off immediately the following items against tax; computers, third generation mobile phones, software, network equipment and cabling, and a number of other IT items.

Established in 1888, Solomon Hare is the largest independent firm of chartered accountants in the South West, with offices in Bristol and Chippenham.

For information go to www.solomonhare.co.uk.