About The Claim
Butchers Cottage Ltd purchased a 3-bedroom, 2-bathroom detached cottage, believed to date back to the early 1700s, in February 2022. The spending extended to improvements made later the same year. The property required a thorough examination of original fixtures and improvements made to see what tax relief was available to claim.
Our team specialise in navigating the complexities of Property Embedded Fixtures and Fittings (PEFFs) claims, an often-overlooked aspect in standard accounting routines. The intricacies of PEFFs are frequently neglected due to insufficient detail in the invoices provided. As a result, our specialised expertise becomes essential in identifying and establishing which PEFFs qualify for applicable tax breaks, aligning with the latest legislation.
To identify qualifying PEFFs, a surveyor was required to separate the original elements from the improvements. A valuation process was then carried out to ensure each item had the correct value for the year it was purchased. Both these stages require additional expertise on top of standard accounting routines, which is why many accountants lean on additional support to achieve the best results for their clients.
The claim processing involved the compilation of relevant documentation, intricate calculations, and the submission of the capital allowances claim. This multifaceted process ensured that all relevant information and data were presented for optimal accuracy and compliance with HMRC. Following the completion of the claim processing, a comprehensive final report was generated. This conclusive report served as a detailed record, providing a thorough overview of how we arrived at the final claim. This report serves as a transparent documentation of the claim not only for the client but also for their accountant.
The capital allowances claimed were in line with expectations, reflecting the just and reasonable apportionment of original and improved elements. The client expressed satisfaction with both the process and the result, meeting their objectives for the 2022 tax return.
Examples of some of the embedded qualifying items that we found...
Feature ceiling light
Gas burner with flue
An observation from our Claims Coordinator, Ruby Whilock...
“One complexity of the case was to split the general pool items into fixed items and chattels to categorise them correctly in the balance sheet. Although allowances were available on both types of spend, we were able to assist the accountant by identifying chattels to be reclassified as fixtures and fittings in the balance sheet. This emphasised the importance of specialist support to help enhance available tax relief.”
What our Client Says...
“I am very happy with the outstanding service I received from CARS while they handled my capital allowance claim. The professionalism and efficiency of their team truly set them apart, making the entire experience with them smooth and stress-free. CARS went the extra mile to make sure I got the most out of my eligible capital allowances. Their meticulous approach left no stone unturned, and their clear communication, swift responses, and transparent guidance kept me in the loop and feeling confident throughout the process. The blend of technical know-how and top-notch customer service truly showcases CARS as experts in their field. I wholeheartedly recommend CARS. A massive thank you to the CARS team for their exceptional service and dedication to ensuring I received the maximum benefit from my claim.”
Steve Doran | Sole Director
What the Accountant Says...
“The team kept me informed throughout the process and I was pleased with the great result achieved for my client. The expertise CARS provides certainly adds value to our accounting routines. I would be happy to work alongside them again in the future.”
Sean Dowd | Director
Optimise Accountants & Tax Advisors Limited