Have you or your clients had a survey of their property to highlight the embedded fixtures and fittings that qualify for tax relief?
It’s automatically assumed that information is readily available for the standard accounting routines to maximise tax relief from expenditure to buy and improve a commercial property.
When sufficient detail isn’t available, a lot of tax relief can be missed, but don’t worry. If you become aware that your client satisfies the criteria, it may not be too late.
Of course, the accounting profession has established routines for assessing Capital Allowances and therefore it’s important to stress that we’re not questioning their ability. MSC R&D’s Capital Allowances team look to enhance the level of Capital Allowances and tax relief claimed by introducing additional disciplines that add value to their work. For example, we complete a survey on the property to identify items that are not visible within the paperwork and sit within Land and Buildings on the Balance Sheet (not Fixtures & Fittings)!
We work alongside business advisors and the accounting profession to maximise the tax benefits available to their clients by claiming the capital allowances on the embedded fixtures and fittings within their clients’ commercial properties. Accountants are restricted by the information provided to them and therefore are too often unable to maximise claims, which can result in higher taxes.
In 90% of cases we review, additional Capital Allowances are extracted from Land & Buildings and Leasehold Improvement costs.
Typically we uncover 25% of property costs and 50% of property improvements, therefore, creating a significant role in a business’s tax planning.
A PEFF (Property Embedded Fixtures and Fittings) review has the ability to recover tax paid and reduce tax liabilities so if you or any of your clients have incurred significant costs to acquired and/or improve commercial property it may be worth a call to discuss.
For more information on our free of charge PEFF claim review service, please contact us.