What is Capital Allowance?
Capital Allowances allow commercial property owners to claim qualifying items of capital expenditure as a tax deduction and are a valuable tax relief. Property Capital Allowances can recover tax paid and reduce taxes for companies and individuals that have spent capital buying/improving commercial property. A Capital Allowance is a taxable benefit against expenditure on Plant and Machinery for the purpose of the trade.
What are Plant and Machinery?
According to HMRC “There is no definition of ‘plant’ in the Act: but, in its ordinary sense, it includes whatever equipment is used by a businessman for carrying on his business. This does not include stock-in-trade which is purchased or makes for a sale, but all goods and chattels, fixed or moveable, live or dead, which is kept for permanent employment in the business.”
What about the embedded fixtures and fittings of your commercial property?
Capital Allowances allow commercial property owners to claim qualifying items of capital expenditure as a tax deduction and are a valuable tax relief.
Property Capital Allowances can recover tax paid and reduce tax liabilities for companies and individuals that have spent capital buying/improving a commercial property. To ensure the maximum level of tax savings can be claimed, we will survey the property to highlight the embedded items that are not visible within the paperwork. As illustrated below.
If you or your clients have spent capital buying or improving a commercial property and have not had a survey to highlight the embedded fixtures and fittings, then you could be eligible to claim.
We could help you to secure tax savings from your commercial property and reduce your taxable income!
Important:
We find the most efficient way of assessing whether tax savings can be achieved is through a conversation with accountants.
We are aware of the accounting routines for assessing Capital Allowances and stress that we’re not questioning anyone’s ability, but by applying additional disciplines, our aim is to increase the level of Capital Allowances claimed and add value to their work. A survey completed on the property to identify items that are not visible within the paperwork and sit within Land & Buildings on the Balance Sheet (not Fixtures & Fittings).
Don’t miss the hidden value in your business! Contact us today to find out if you can claim.
Latest News
25 September 2026Unclaimed Capital Allowances in the UK: How to Recover the Tax Relief Hiding in Your Property
Unclaimed capital allowances UK-wide are far more common than most business owners realise. HMRC’s own research into capital allowances, found that businesses had limited awareness or understanding of capital allowances. This no doubt resulting in missed tax savings as they aren’t aware the...
24 September 2026Capital Allowances for Accountants and Their Clients: How to Add Real Value Without Becoming the Specialist
“Like many other general practitioners, we thought that we knew all the important stuff about capital allowances…after the team had finished with us, we realised there was a whole lot more to be claimed than we first thought!” Chris Booth | Partner – McKellens Chartered Accountants Capital...
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Our expert team are here to help answer any of your capital allowances questions or enquires you have about your commercial property.