Capital Allowances on Buildings & Property

Commercial Property Capital Allowances

Any business that pays a higher tax than they need to on their profits and the purchase of commercial property is not making the most of the specific tax relief available to them from the Government. As Capital Allowances are very complicated to analyse and claim, you might not have had the time to look into them fully or even been aware that you were entitled to them. As specialist advisors in this area we can make getting this tax relief simple for you.

Capital Allowances can be claimed on commercial equipment, fixtures and fittings and also the property itself. You may be entitled to claim Capital Allowances on property that you purchased previously, if you purchased it for over £200,000 and use it for commercial purposes. Capital Allowances on commercial property is very beneficial and can be claimed for renovations and extensions. We can advise you on what you may be entitled to and after further investigation we will make sure you receive the full amount of tax rebate and relief available for your situation. Capital Allowances on buildings usually provide very sizeable rebates and relief to the owners.

FHL capital allowances – Property Capital Allowances for furnished holiday lets

If you have a furnished holiday let that is available for short term holiday rent in the UK and the whole of Europe then you should be entitled to claim FHL Capital Allowances if the business is in profit. Guidelines are that the Furnished Holiday Let should be let for less than 31 days each time, be available to let for over 140 days of the year, and actually be let for more than 70 days a year at the market rate (not mates rates etc). As of April 2012 this will change to 210 days available and 115 days let. We can help with this kind of claim as well as Capital Allowances on buildings claims for many other types of commercial properties.

FHL capital allowances are extremely beneficial. An example of our FHL Capital Allowances claim would be;

  • Terry and Lorraine purchased their villa in Marbella in February 1998
  • They paid £310,000 for the property
  • They rent it out through a property agency for approximately 25 weeks a year
  • They paid 20% tax last year
  • They received an FHL Capital Allowances pool of £124,000
  • This allowed them to not pay any tax on the profits of the FHL for the foreseeable future

FHL Capital Allowances are available on villas, apartments, holiday cottages, holiday homes in the UK and Europe. Call us now to discuss how much you will be entitled to or view our Capital Allowances Calculator.