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What are Capital Allowances

When you buy a property for investment or business purposes you generally cannot deduct the expenditure from your profit and loss account. Instead you may be able to claim Capital Allowances.

Capital Allowances are a type of tax relief that allows individuals and companies to deduct costs in relation to a property from the taxable profits. The relief is available to individuals who pay taxes through the self assessment tax returns, sole traders, partnerships and limited companies.

Examples of properties include

Purchase of a building, i.e. offices, care home, showrooms, factory or workshop
Construction of a new property
New fit outs
Extensions, alterations and refurbishments to an existing property

Are you buying or selling a property?

New rules have been introduced by the Government whereby a business buys a commercial property, from April 2014 need to take extra care if it still wishes to claim capital allowances on all or part of its acquisition costs.

To make sure you don’t lose out on potential claims, please contact us for a free no obligation consultation.

Research & Development Tax Credits

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