Both owner managed businesses and property occupiers may incur substantial levels of capital expenditure constructing and / or fitting out property for their own trade-related use.
Whilst they should never be the catalyst for initiating such projects, the range of property-related tax incentives on offer can undoubtedly lessen the impact of incurring the expenditure.
Measures such as the Annual Investment Allowance (£250,000 from Jan 2013 to 31 Dec 2014), the Enhanced Capital Allowances regime for investment in energy and water efficient technologies, the Short Life Asset regime, the general Plant & Machinery Allowance regime and even the Business Premises Renovation Allowance regime can all have a significant impact on the level of tax relief obtained in respect of the capital investment.
Clients often seek advice in relation to the above measures from their accountant but because they do not deal with these issues on a daily basis and more importantly, do not have skills in construction and property valuation they are not usually the best person to ask. Furthermore, pro-active consideration must be given to these tax incentives at the very outset of the project to obtain maximum tax relief and usually accountants only really come to look at the expenditure at financial year end long after the opportunity to influence the outcome has passed.
The Capitus approach ensures that Owner Managed Businesses and Property Occupiers obtain maximum entitlement to tax relief by having a detailed knowledge of the measures available, what is required to obtain them, considering them on a pro-active basis and having the in-house skills required to identify and claim them.
The exercise results in not only increased tax relief but also improved cash flow and additional cash to re-invest in the business which is actually the intention of the legislation in the first place.
For further information contact Aubrey Calderwood at firstname.lastname@example.org