To make a capital allowance claim, detailed documents are required to verify qualifying expenditures. Essential documents include property purchase contracts, invoices for qualifying items, detailed schedules of assets, and construction or renovation costs if applicable. Additionally, a report from a qualified surveyor may be required to identify embedded assets. Keeping accurate records and itemised receipts will help streamline the claim process and ensure eligibility.
Capital Allowances are tax deductions that businesses can claim on certain types of expenditure for commercial properties. These include machinery, and equipment that are used for business purposes. These allowances enable businesses to offset the cost of these assets against their taxable profits, reducing their overall tax liability. Understanding and maximising capital allowances can significantly benefit businesses by improving cash flow and reducing their tax burden.
However, not everyone is familiar with the rules, regulations and eligibility surrounding Capital Allowances. Explore our FAQs to learn more
