The Challenge of a Vast Portfolio

This client owned 98 properties

The primary challenge we faced was the sheer magnitude of this claim. With 98 properties to evaluate, our due diligence was paramount. Our objective was to meticulously identify which property costs qualified for capital allowances while ensuring a seamless and efficient process. To accomplish this, we embarked on a comprehensive data collection endeavour. Collating all the necessary accounting, legal, and property information. This included Full accounts, Fixed asset registers, Repairs & renewals and Tax Returns. Plus any Purchase contracts and other key documents were gathered to facilitate a comprehensive assessment.

Documents for a capital allowance claim

Streamlining the Property Survey Process

Our organised approach to a large portfolio

We always aim to streamline the property survey process. Therefore, we prepared detailed survey instructions tailored to the specific requirements of each property. These instructions served as comprehensive guidance for our surveyors, ensuring accurate data collection. Efficiency was a top priority. So, we meticulously arranged and scheduled surveys to minimise disruptions to our client’s business operations.

Ian Lowe doing a property survey

Accurate Valuation and Item Identification

Highlighting eligible items

With our expert team on the job, we accurately calculated the value of items within each property using approved valuation methods, ensuring compliance with HMRC requirements. The resulting schedule of items clearly highlighted those eligible for capital allowances, while non-qualifying or previously claimed items were diligently removed. Our meticulous approach guaranteed the accuracy and integrity of the claims made. To provide a comprehensive report, we included detailed workings and information on an S198 election, which would prove valuable if the client decides to sell any properties in the future.

An individual doing calculations

A Comprehensive Report and Future Considerations

Reducing our client’s tax liabilities

The culmination of our efforts proved to be successful. Through the optimisation of their capital allowances, we successfully reduced our client’s tax liabilities, resulting in impressive overall tax savings of £1,127,000. This significant financial benefit not only reflected our expertise but also emphasised the positive impact our process had on our client’s financial well-being.

An individual doing calculations

Our expertise was put to the test

Our team delivered exceptional results

The challenges presented by our client’s case also brought forth opportunities. As we have seen in this article, by completing a thorough review of relevant information, meticulous assessment of capital allowances eligible, and developing a streamlined process for property surveys, we were able to deliver exceptional results. The unclaimed capital allowances identified amounted to a staggering £2,600,000, highlighting the potential benefits that could be unlocked with the right expertise and approach.

CARS team reviewing information

Our support proved valuable

Allowing business growth

Our successful partnership with one of the largest private dental practices in the UK stands as a testament to our commitment to excellence and compliance. By maximising their capital allowances and reducing tax liabilities, we have allowed them to continue to grow with extra financial support. Moving forward, we remain dedicated to assisting our clients in navigating the complex landscape of capital allowances and unlocking hidden financial opportunities.

Get in touch with our expert team to ensure your capital allowance claim is completed correctly...

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