1 – The overall freehold cost (including any extensions / improvements) exceed £300,000 – for a standard claim.

2 – New Smaller Property service available for freehold costs between £100,000 – £300,000.

3 – The freehold property must be commercial and owned by the client(s) personally or a trading company including LLP’s.

4 – New Builds & Tenants improvements also qualify.

5 – Property was purchased within the last 10 years.

6 – The client has paid UK tax on trading profits or rental income during the last two years – unless the client is confident of a positive future.

1 – Clients can be reassured that a capital allowance claim should not affect the clients future Capital Gains Tax position as we are not altering the freehold value but merely retrieving items hidden in the freehold to enhance the capital allowance pool, for CGT purposes the freehold cost remains unchanged.

2 – Many clients are concerned that a capital allowance claim will result in a balancing charge when they eventually sell the property, a balancing charge cannot exceed capital allowances claimed or original cost so care must be exercised in agreeing the disposal values.

3 – If the client sells the items as part of the Contract of Purchase / Inventory for no more than their written down value there will be no balancing charge, indeed if they are sold for less it could lead to a balancing allowance.

4 – It is fair to say some clients may get a little concerned that a capital allowance claim may lead to an enquiry by HMR&C, but from our experience, this is not the usual practice although in a minority of cases an aspect enquiry can arise which Taxadjusters handle quietly behind the scenes to a successful conclusion at no additional cost as per our contract (except any third party costs).

5 – We do recommend that the client contacts us prior to any sale or purchase of a property so we can provide assistance.