About the claim
Parogon Group had completed significant renovations and improvements to two restaurants. The costs incurred were extensive and therefore created the important task of securing the maximum level of tax relief using the tax breaks available. Their Accountant, DJH Mitten Clarke, applied good accounting routines to capture allowances that could be highlighted from the available invoices. We were then tasked with applying our process to enhance the level of allowances over and above what accounting routines secured.
The Swan With Two Necks
Refurbishment cost
Structures & Buildings Allowances identified
Total capital allowances
Total immediate tax savings achieved
Red House
Refurbishment cost
Structures & Buildings Allowances identified
Total capital allowances
Total immediate tax savings achieved
“We were recommended to CARS through our accountant to complete a capital allowance claim on a number of our commercial properties. The process was simple and straightforward. We were really pleased with the results!”
Phil Sharp | Property Director
“The team are great to work with. You can’t fault the level of communication; we were never left in the dark and they took control of the whole process. The thorough due diligence they adhere to in their routines gives us the confidence that us and our client are in good hands. Their support meant we could give our client an even better experience with the services we offer.”
Lisa Jones | Client Services Director
DJH
Our approach
The first step was to gain a clear understanding of the works completed by gathering all available information relating to the renovations and improvements. Once we understood what had already been treated by the accountant we can start forecasting what our process could potentially achieve using our 20 years’ experience of completing reviews of this type.
Using forecasts, we were then able, alongside DJH Mitten Carke, to determine how any additional allowances secured would benefit the client’s tax position. It was clear any enhancement would benefit the client therefore the full process was started. This involved a detailed on-site survey reviewing all the areas that had been renovated. This is a crucial part of the process as it creates a clear breakdown of the items installed that invoices by contractors & suppliers rarely provide.
Examples of some of the embedded qualifying items that we found...
Fixed bench seating
Room partition screening
Fitted storage units
Non slip flooring tiles
Once a detailed breakdown of items is prepared and valued accordingly, we were then able to work through each detail to determine whether items qualify and for which tax break.
As a result, we were able to significantly enhance the level of Capital Allowances.
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