Any business operating in the UK which purchases or makes improvements to commercial property can benefit from a capital allowances review. The savings are usually deducted from income tax, capital gains or corporation tax.
For freeholders, the additional capital allowances our surveyors can identify are usually based on the property purchase, development and/or improvement costs. For leaseholders, additional capital allowances are usually identified by analysing any refurbishment costs in greater detail. These include items such as electricals, flooring, partition walls, air conditioning units and embedded features.
CPRA Group acts for individual leasehold occupiers through to multi-asset landlords and investors. Our aim as experienced capital allowances specialists and tax advisors is to liaise with our clients and their accountants to find out what has already been claimed in previous years and then to uncover additional embedded capital allowances which otherwise would have been lost. These additional allowances can then be claimed within the current tax period or spread across future years.
We have a 100% success rate of claims submitted to the Valuation Office and HMRC and typically we find that around 70% of our client properties have embedded capital allowances of which they are unaware. This is particularly important for freeholders or occupiers that have developed, fitted-out or refurbished commercial premises in the past few years. An average claim involves tens or hundreds of thousands of pounds in capital allowances per property.
Our capital allowances reviews are carried out by experienced, dually qualified chartered surveyors and tax advisors who also offer further tax advice and tax planning. The service begins with an initial desktop analysis and inspection to establish the potential of a claim. If we proceed our fees are a percentage of the total tax saving and there are no upfront administration costs.
If you would like to know if your business could benefit from a capital allowances review, please call our capital allowances team on 020 7770 8000 or by clicking Contact Us.