If you own commercial property ANYWHERE in the WORLD and you are subject to UK Tax , then you are almost certainly eligible to claim substantial tax rebates from HMRC for past years, as well as continuing tax reliefs in the future.

However, the relationship between capital allowances and capital gains is often misunderstood, as is the difference between the accounting and tax treatment of a property. Claiming capital allowances does not adversely affect your capital gains tax

Eligibility

There are an estimated two million properties in the UK that do qualify:

• The property is classified as commercial (e.g. shop, office, factory, warehouse
  etc.)
• Is not held in a pension fund, the government, charity or treated as stock.
• The owner is a UK taxpayer – could be an individual, an LLP, a PLC or a Ltd company.

If you satisfy these three simple criteria, it is highly likely you will have a genuine
and significant claim to make.

This is where the claims arise

Many distinctions are obvious: clearly office furniture is movable and the roof
is immovable. But what about air-conditioning plant, emergency lighting and alarm
systems? These are normally considered by accountants as “improvements” which are
immovable and not therefore eligible for capital allowances. But HMRC will agree
otherwise – provided you approach them in the correct way, with the correct information
presented in the approved manner.

Your accountants probably can’t do it for you, but we add value by working with them
to make a successful claim.

In fact there is a common misconception that claiming Capital Allowances on integrated
plant and machinery reduces the base cost for CGT. This is not the case – in effect,
the owner gets double relief on the value of the integrated plant and machinery.