Frequently Asked Questions
- Are you accountants?
No, we are a specialist consultancy firm that supports accountants in the field of Capital Allowances. We work in conjunction with our partner firms in order to maximise a capital allowance claim on behalf of our clients
- Will this affect the value of my property?
No, Capital Allowances are not taken into account when a property is valued for commercial or accounting purposes.
- Will claiming Capital Allowances increase my capital gains tax liability if I sell the property?
No. HMRC guidelines are clear that claiming Capital Allowances will not increase a capital gain. However, care must be taken if selling a property at a loss.
- Will this cause a problem with HMRC?
The legislation surrounding Capital Allowances has been in place for many years. It is not a tax scheme and as long as the claim is accurate and presented in a format recognised by HMRC then you can expect the claim to be accepted. We deal with all stages of the process, from establishing whether there has been a prior claim, surveying your property, compiling the report to helping you and your tax advisors deal with any queries once the report has been submitted to HMRC.
- I bought/built/refurbished my property many years ago, can I still claim?
Yes. In most cases, there is no time limit for making a claim. As long as you still own the property you can make a claim.
- If I sell my property, will I lose all of my Capital Allowances?
No, only if you fail to seek specialist advice.
We will be on hand to assist if you sell your property, to give the most appropriate advice based on the current legislation.
- Wouldn't my accountant have already claimed if this was available?
Capital Allowances are a specialist area. Unless a detailed survey of the property has been undertaken, specifically for Capital Allowances then it is unlikely that a full claim has been made and you are likely to be missing out on significant tax savings. Capital Allowance claims are ideally suited to being dealt with as a stand-alone service. We work alongside your existing advisers and many of our referrals come from other professional advisers such as accountants, solicitors and property agents.
- Can I claim for Capital Allowances on residential property?
It is generally not possible to claim plant and machinery allowances for assets within residential property as the relief is intended for commercial premises and not ‘dwelling houses’. There are however, exceptions to this which include; some multi occupation buildings such as care homes, halls of residence, asset in communal parts of blocks of flats, living accommodation at some business premises. This is a complex area, please contact us for further details.
- Can I make a claim for a furnished holiday let?
Yes. Following a recent change in UK legislation, tax benefits have been extended to UK owners of Furnished Holiday Lets both in the UK and EEA countries. As long as you and your property meet the criteria set out by HMRC, you may be able to make a claim. Please contact us for further details.
- Is it too good to be true?
Absolutely not! Capital Allowances legislation is in place to encourage business. HMRC know they will recover more tax and national insurance from successful businesses than they will offer in tax allowances.