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<!doctype html><html lang="en"><head><meta charset="utf-8"><meta name="viewport" content="width=device-width,initial-scale=1"><title>CGS Threshold Check — the £600,000 rule that started 29 July 2026</title><meta name="description" content="Type the spend and the date the item was bought or built. It tells you whether the VAT Capital Goods Scheme still owns that asset for ten years, and what this interval's adjustment actually is."><style>*{box-sizing:border-box}
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<h1>Capital Goods Scheme: in or out, and what is due</h1>
<p class="sub">Type the spend and the date the item was bought or built. It tells you whether the VAT Capital Goods Scheme still owns that asset for ten years, and what this interval's adjustment actually is.</p>
<label for="item_type">Capital item</label><select id="item_type" data-k="item_type"><option value="Land or building (bought)" selected>Land or building (bought)</option><option value="Building work (construct, refurb, fit-out, extend)">Building work (construct, refurb, fit-out, extend)</option><option value="Computer equipment">Computer equipment</option><option value="Ship, boat or aircraft">Ship, boat or aircraft</option></select>
<label for="spend_ex_vat">Capital spend <span class="u">£ excluding VAT</span></label><input type="number" id="spend_ex_vat" data-k="spend_ex_vat" value="400000" step="any">
<label for="acquired_on">Date acquired, constructed or refurbished</label><input type="date" id="acquired_on" data-k="acquired_on" value="2026-07-28">
<label for="vat_charged">Input VAT charged on the item <span class="u">£</span></label><input type="number" id="vat_charged" data-k="vat_charged" value="80000" step="any">
<label for="taxable_use_first">Taxable use in the first interval <span class="u">%</span></label><input type="number" id="taxable_use_first" data-k="taxable_use_first" value="100" step="any">
<label for="taxable_use_now">Taxable use in this interval <span class="u">%</span></label><input type="number" id="taxable_use_now" data-k="taxable_use_now" value="60" step="any">
<label for="interval_ends">This interval ends</label><input type="date" id="interval_ends" data-k="interval_ends" value="2028-03-31">
<table><tr><th>Limit that applies to this item</th><td class="v" data-o="threshold_applied">&mdash;</td></tr><tr><th>In or out of the scheme</th><td class="v" data-o="in_scheme">&mdash;</td></tr><tr><th>Interval you are in</th><td class="v" data-o="interval_now">&mdash;</td></tr><tr><th>Adjustment for this interval</th><td class="v" data-o="adjustment_due">&mdash;</td></tr><tr><th>Which way the money moves</th><td class="v" data-o="who_pays">&mdash;</td></tr><tr><th>Still at stake if use stays as it is</th><td class="v" data-o="still_at_stake">&mdash;</td></tr><tr><th>Final adjustment falls on</th><td class="v" data-o="last_adjustment">&mdash;</td></tr></table>
<div style="margin:14px 0 4px;padding:13px 15px;border:1px solid #8886;border-radius:10px"><p style="margin:0 0 .45rem;font-weight:600">Keep the schedule, not just this interval.</p><p style="margin:0 0 .6rem;font-size:.88rem;opacity:.85">The check above is free and unlimited. The full version exports the whole interval schedule as .csv for your working papers and reminds you before each interval ends.</p><a href="https://getreadystack.com/api/buy/cl/polar_cl_DXX3bq3ADU6ptiv04a8nPAfZM6esWciIyUsgh0Uu3EX" style="display:inline-block;padding:.5rem .9rem;border:1px solid #8886;border-radius:8px;text-decoration:none;font-weight:600">Get the full version &mdash; $60</a><p style="margin:.55rem 0 0;font-size:.8rem;opacity:.7">$60 once &middot; one licence key per person or team seat &middot; A UK VAT specialist bills &pound;150&ndash;&pound;300 an hour, and &pound;700&ndash;&pound;1,000+ a day at senior level.</p></div>
<div class="f"><b>Picks the limit by the date on the invoice</b><br>Land, buildings and civil engineering works dated on or after 29 July 2026 are tested against £600,000 excluding VAT; anything dated before that keeps the old £250,000 test until its adjustment period runs out.</div><div class="f"><b>Knows computers left the scheme</b><br>Computer equipment acquired on or after 29 July 2026 is no longer a capital item at all, so it returns no adjustment; computers bought before that date still run their five intervals.</div><div class="f"><b>Works out this interval's adjustment</b><br>Total input VAT divided by the number of intervals, multiplied by the change in taxable use since the first interval, and it says which direction the money moves.</div><div class="f"><b>Counts which interval you are in</b><br>From the acquisition date and the interval end date it names the interval number, how many are left, and the date of the final adjustment.</div><div class="f"><b>Same maths in the popup and on the free web page</b><br>One tool.js file runs both, so the answer in the browser extension and the answer on the free page can never drift apart.</div>
<script>function compute(v){
// UK VAT Capital Goods Scheme. Threshold change: Revenue and Customs Brief 7 (2026),
// in force 29 July 2026. Land/buildings/civil engineering: 250,000 -> 600,000 excl VAT.
// Computers acquired on or after that date leave the scheme. Ships/boats/aircraft unchanged.
var CUT = Date.UTC(2026, 6, 29);
function money(n){
var s = (Math.round(n * 100) / 100).toFixed(2).replace(/\.00$/, '');
var p = s.split('.');
p[0] = p[0].replace(/\B(?=(\d{3})+(?!\d))/g, ',');
return '£' + p.join('.');
}
var M = ['Jan','Feb','Mar','Apr','May','Jun','Jul','Aug','Sep','Oct','Nov','Dec'];
function dstr(ms){ var d = new Date(ms);
return d.getUTCDate() + ' ' + M[d.getUTCMonth()] + ' ' + d.getUTCFullYear(); }
var t = String(v.item_type || '');
var isLandBld = (t.indexOf('Land') === 0 || t.indexOf('Building') === 0);
var isComp = (t.indexOf('Computer') === 0);
var spend = Number(v.spend_ex_vat) || 0;
var vat = Number(v.vat_charged) || 0;
var first = Number(v.taxable_use_first); if (isNaN(first)) first = 100;
var now = Number(v.taxable_use_now); if (isNaN(now)) now = 100;
var a = Date.parse(String(v.acquired_on || '')); if (isNaN(a)) a = CUT;
var e = Date.parse(String(v.interval_ends || '')); if (isNaN(e)) e = a + 31557600000;
var newRules = (a >= CUT);
var thr, ivs, tlabel;
if (isLandBld) {
ivs = 10;
if (newRules) { thr = 600000; tlabel = money(600000) + ' — new limit, items dated on or after 29 Jul 2026'; }
else { thr = 250000; tlabel = money(250000) + ' — old limit, and it still binds this item'; }
} else if (isComp) {
ivs = 5;
if (newRules) { thr = -1; tlabel = 'None — computers left the scheme on 29 Jul 2026'; }
else { thr = 50000; tlabel = money(50000) + ' — old limit, and it still binds this item'; }
} else {
ivs = 5; thr = 50000;
tlabel = money(50000) + ' — unchanged for ships, boats and aircraft';
}
var inS = (thr >= 0) && (spend >= thr);
var yrs = (e - a) / 31557600000;
var n = Math.max(1, Math.ceil(yrs - 0.0001));
var perI = inS ? (vat / ivs) * ((first - now) / 100) : 0;
var due = (inS && n >= 2 && n <= ivs) ? perI : 0;
var left = inS ? Math.max(0, ivs - n) : 0;
var status;
if (thr < 0) status = 'OUT — no longer a capital item';
else if (!inS) status = 'OUT — spend is under the ' + money(thr) + ' limit';
else status = 'IN — ' + ivs + ' intervals to watch';
var who;
if (thr < 0) who = 'Nothing to adjust, ever';
else if (!inS) who = 'Nothing to adjust, ever';
else if (n < 2) who = 'Interval 1 — the first adjustment falls in interval 2';
else if (n > ivs) who = 'Adjustment period is over';
else if (due > 0.005) who = 'Repay ' + money(due) + ' to HMRC';
else if (due < -0.005) who = 'Reclaim ' + money(-due) + ' from HMRC';
else who = 'No adjustment — taxable use has not moved';
var lastMs = null;
if (inS && left > 0) { var d = new Date(e);
lastMs = Date.UTC(d.getUTCFullYear() + left, d.getUTCMonth(), d.getUTCDate()); }
return {
threshold_applied: tlabel,
in_scheme: status,
interval_now: inS ? ('Interval ' + n + ' of ' + ivs) : '—',
adjustment_due: money(Math.abs(due)),
who_pays: who,
still_at_stake: money(Math.abs(perI) * left),
last_adjustment: lastMs === null ? '—' : dstr(lastMs)
};
}
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<section data-yj-install="free" style="margin:2rem auto 1rem;max-width:46rem;padding:1.25rem 1.25rem;border:1px solid #cfe3d6;border-radius:12px;background:#f6fbf8;font:16px/1.6 system-ui,-apple-system,Segoe UI,sans-serif"><h2 style="margin:0 0 .4rem;font-size:1.2rem">Install free</h2><p style="margin:0 0 .8rem;color:#41505f">Free for the file open in your editor - no key, no limit. The workspace sweep and the report ask for a key.</p><a href="https://addons.mozilla.org/firefox/addon/cgs-threshold-check-uk-vat-cap/" rel="noopener" data-yj-install-door="firefox" onclick="try{navigator.sendBeacon('/api/ev',new Blob([JSON.stringify({t:'install',slug:'cgs-threshold-check-2026',src:'firefox',path:location.pathname})],{type:'application/json'}))}catch(e){}" style="display:inline-block;margin:0 .5rem .5rem 0;padding:.6rem 1rem;border-radius:8px;background:#0f7b3f;color:#fff;text-decoration:none;font-weight:600">Firefox Add-ons</a></section>
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<section data-yj="yj-facts-v1" style="max-width:920px;margin:48px auto 0;padding:0 20px;font-family:system-ui,sans-serif"><style>.yj-article p{font:400 15.5px/1.7 system-ui,sans-serif;color:#26313b;margin:0 0 12px;max-width:72ch}.yj-article h2,.yj-article h3,.yj-article h4{font:600 17px/1.35 system-ui,sans-serif;color:#1b1f24;margin:22px 0 8px}.yj-article table{border-collapse:collapse;margin:10px 0 16px;font:14px/1.45 system-ui,sans-serif}.yj-article th,.yj-article td{border:1px solid #e2e6ea;padding:6px 10px;text-align:left}.yj-article th{background:#f4f6f8}.yj-article pre{background:#0f1720;color:#e6edf3;padding:12px 14px;border-radius:8px;overflow:auto;font:13px/1.5 ui-monospace,Menlo,monospace}.yj-article code{font:13px ui-monospace,Menlo,monospace;background:#f1f3f5;padding:1px 4px;border-radius:3px}.yj-article pre code{background:none;padding:0}.yj-article ul,.yj-article ol{font:15px/1.6 system-ui,sans-serif;color:#26313b}</style><p style="font:400 13px/1.5 system-ui,sans-serif;color:#6b7680;margin:0 0 14px"><time datetime="2026-09-17">Updated 2026-09-17</time> · ReadyStack</p><script type="application/ld+json">{"@context":"https://schema.org","@type":"WebPage","dateModified":"2026-09-17","author":{"@type":"Organization","name":"ReadyStack"}}</script><h2 style="font:600 21px/1.3 system-ui,sans-serif;margin:0 0 6px;color:#1b1f24">Worked example</h2><p style="font:400 14.5px/1.5 system-ui,sans-serif;margin:0 0 16px;color:#5b6570">Real numbers from this tool, line by line.</p><div class="yj-article"><p><img src="https://getreadystack.com/img/promo/sku73322_result_card.jpg" alt="CGS Threshold Check — the £600,000 rule that started 29 July 2026" loading="lazy" style="max-width:100%;border-radius:6px"></p>
<p>£600,000 — UK finance managers and practice accountants, that is the Capital Goods Scheme limit on a building now, and this is what it does to a £400,000 office acquired on 30 September 2026:</p>
<p>Limit that applies to this item £600,000 — items dated on or after 29 Jul 2026 In or out of the scheme OUT — spend is under the £600,000 limit Interval you are in — Adjustment for this interval £0 Which way the money moves Nothing to adjust, ever Still at stake if use stays as it is £0 Final adjustment falls on —</p>
<p>Seven answers, and every figure in them is zero. Now move the acquisition date back to 28 July 2026 and the same office, the same price, the same £80,000 of input VAT comes back completely different: in the scheme, ten intervals, interval 2 of 10, repay £3,200 to HMRC this interval, £25,600 still at stake, final adjustment 31 March 2036. One day on a completion statement, ten years of VAT.</p>
<p>The split comes from Revenue and Customs Brief 7 (2026). From 29 July 2026 the capital expenditure threshold for land, buildings and civil engineering works rose from £250,000 to £600,000, excluding VAT. The new limit applies to land acquired on or after that date, and to buildings and civil engineering works acquired, constructed, refurbished, fitted out, altered or extended on or after it. Computers and computer equipment acquired on or after 29 July 2026 left the scheme entirely. Ships, boats and aircraft are unchanged.</p>
<p>Two things make this expensive.</p>
<p>The first is that the change does not release anything. An item already a capital item under the old threshold stays in the scheme to the end of its adjustment period. So a warehouse bought on 28 July 2026 for £400,000 is in for ten intervals, and a near-identical one bought on 30 September 2026 is out.</p>
<p>The second is that every free answer still quotes the old figure. Type the question into a chatbot and it returns £250,000, the number in almost every page ever written about the scheme. The failure is silent: nobody gets an error, the business simply starts making adjustments it does not owe, or keeps ten years of records for an asset that left the scheme the day it was bought.</p>
<p>CGS Threshold Check is a browser extension plus a free web page running the identical code. You give it seven things: the kind of capital item, the spend excluding VAT, the date it was acquired or the work was done, the input VAT charged, taxable use in the first interval, taxable use in this interval, and the date this interval ends.</p>
<p>It returns the seven lines above. Which limit applies and why. In the scheme or out. Which interval you are in, out of how many. The adjustment for this interval. Which way the money moves — repay to HMRC or reclaim. What is still at stake if taxable use stays where it is. And the date the final adjustment falls.</p>
<p>The arithmetic behind the £3,200 is the standard one: total input VAT divided by the number of intervals, multiplied by the change in taxable use since the first interval. £80,000 over ten intervals, against a forty point drop in taxable use. The tool picks the right number of intervals, and the right threshold, from the date you type — four kinds of capital item, one date that decides all of it.</p>
<p>The check is free, unlimited, with no key and no sign-up, in the popup and on the web page. Nothing you type leaves the browser. The paid version sits on a different axis: it exports the whole interval schedule as .csv so it can live in the working papers, and it sets reminders so each interval end reaches you before the return is filed. $29 once, one licence key per person or team seat, 7-day full refund. A UK VAT specialist bills roughly £150 to £300 an hour, and a written opinion on one capital item runs to several hours.</p></div><h2 style="font:600 19px/1.3 system-ui,sans-serif;margin:30px 0 10px;color:#1b1f24">15 seconds — what it actually does</h2><h3 style="font:600 16px/1.3 system-ui,sans-serif;margin:22px 0 8px;color:#1b1f24">Full walk-through</h3><video controls playsinline preload="none" poster="/img/promo/sku73322_result_card.jpg" style="width:100%;max-width:720px;border-radius:10px;display:block;margin:0 auto"><source src="/media/sku73322_long.mp4" type="video/mp4"></video><h2 style="font:600 21px/1.3 system-ui,sans-serif;margin:34px 0 6px;color:#1b1f24">Questions people ask</h2><details style="border-bottom:1px solid #e6e9ed;padding:10px 0"><summary style="cursor:pointer;font:600 15px/1.4 system-ui,sans-serif;color:#1b1f24">What does CGS Threshold Check actually do?</summary><p style="margin:8px 0 2px;font:400 14.5px/1.6 system-ui,sans-serif;color:#33404b">You type the capital spend excluding VAT, the date the item was bought or built, the input VAT charged, and taxable use in the first interval and this one. It answers which threshold binds that item, whether it is in the Capital Goods Scheme, the interval number, this interval&#x27;s adjustment, and the date of the final one.</p></details><details style="border-bottom:1px solid #e6e9ed;padding:10px 0"><summary style="cursor:pointer;font:600 15px/1.4 system-ui,sans-serif;color:#1b1f24">Who is this for?</summary><p style="margin:8px 0 2px;font:400 14.5px/1.6 system-ui,sans-serif;color:#33404b">UK finance managers and practice accountants who handle VAT on property and large capital spend, plus VAT-registered landlords who have opted to tax. If you sign a VAT return that carries a Capital Goods Scheme adjustment, or decide whether an asset needs one at all, this is your check.</p></details><details style="border-bottom:1px solid #e6e9ed;padding:10px 0"><summary style="cursor:pointer;font:600 15px/1.4 system-ui,sans-serif;color:#1b1f24">Why will a free chatbot not answer this?</summary><p style="margin:8px 0 2px;font:400 14.5px/1.6 system-ui,sans-serif;color:#33404b">The land and buildings threshold moved from £250,000 to £600,000 on 29 July 2026 under Revenue and Customs Brief 7 (2026). Models and older calculators still answer £250,000, which puts an asset into ten years of adjustments it never owed. This tool splits on the date you type.</p></details><details style="border-bottom:1px solid #e6e9ed;padding:10px 0"><summary style="cursor:pointer;font:600 15px/1.4 system-ui,sans-serif;color:#1b1f24">What is free and what needs the $60 key?</summary><p style="margin:8px 0 2px;font:400 14.5px/1.6 system-ui,sans-serif;color:#33404b">Every check is free and unlimited: the threshold, in or out, the interval, the adjustment and the final date, in the popup and on the web page, with no key and no sign-up. The $60 licence key adds .csv export of the schedule for your working papers and reminders before each interval ends.</p></details><details style="border-bottom:1px solid #e6e9ed;padding:10px 0"><summary style="cursor:pointer;font:600 15px/1.4 system-ui,sans-serif;color:#1b1f24">What would this cost from an adviser?</summary><p style="margin:8px 0 2px;font:400 14.5px/1.6 system-ui,sans-serif;color:#33404b">A UK VAT specialist bills roughly £150 to £300 an hour, and £700 to £1,000 or more a day at senior level. A written opinion on a single capital item runs to several hours. The key is $60 once,.</p></details><script type="application/ld+json" data-yj="yj-faq-ld">{"@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [{"@type": "Question", "name": "What does CGS Threshold Check actually do?", "acceptedAnswer": {"@type": "Answer", "text": "You type the capital spend excluding VAT, the date the item was bought or built, the input VAT charged, and taxable use in the first interval and this one. It answers which threshold binds that item, whether it is in the Capital Goods Scheme, the interval number, this interval's adjustment, and the date of the final one."}}, {"@type": "Question", "name": "Who is this for?", "acceptedAnswer": {"@type": "Answer", "text": "UK finance managers and practice accountants who handle VAT on property and large capital spend, plus VAT-registered landlords who have opted to tax. 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