17
• Means of providing tax depreciation• HMRC approved• Non regulated product
What are Capital Allowances?
Presented By Andy Nicol [email protected]
• Factories/Industrial Units• Office complexes• Leisure Facilities• Retail stores/showrooms• Filling Stations/garages• Nursing/residential homes• Workshops
Commercial PropertySectors
• Cold storage facilities• Depots/Warehouses• Staff welfare facilities• Haulage Yards• Transport Facilities• Hotels• Student accommodation
Presented By Andy Nicol [email protected]
95% of commercial properties are still eligible
Commercial PropertyEligibility
Presented By Andy Nicol [email protected]
Commercial PropertyEligibility
• Own, use or lease a commercial property
• Have (or will have) profits• UK tax payer• minimum value £150k
Presented By Andy Nicol [email protected]
• Purchase Price• Expenses on intrinsic fabrications• Sockets• Toilets• Fire alarms• Air conditioning• Double glazing• Furniture• Gas, water, electricity
Commercial PropertyCapital Allowance Valuation
Presented By Andy Nicol [email protected]
Commercial Offices
• Purchase price £5m• Capital Allowance £1.25m• Tax relief £262,500 (21% tax payer)
Commercial PropertyTypical Claim
Presented By Andy Nicol [email protected]
Bed and Breakfast
• Purchase price £400,000• Capital Allowance £140,000• Tax Relief £56,000 (40% tax payer)
Commercial PropertyTypical Claim
Presented By Andy Nicol [email protected]
Percentage Fee• 5% of capital allowance figure• 7% for private individual
Survey Fee• < £500k £750• £500k - £2m £995• £2m - £5m £1,500• £5m + £2,500
Commercial PropertyFees (all payable on completion)
Presented By Andy Nicol [email protected]
• No Win No Fee• At least £50,000 capital allowance
identified• Nothing to pay upfront
Commercial PropertyFees
Presented By Andy Nicol [email protected]
• Furnished• EU• Available for at least 140 days per year• Commercially let for at least 70 days per year• Not the same person for more than 31 days per
year• Minimum value £300k
Furnished Holiday LetsEligibility
Presented By Andy Nicol [email protected]
Furnished Holiday LetsTypical Claim
• Purchase Price £350,000• Capital Allowance £70,000• Tax Relief £28,000 (40% tax payer)
Presented By Andy Nicol [email protected]
Furnished Holiday LetsFees
Percentage Fee• 5% of capital allowance figure• 7% if private individual
Survey Fee• UK £595 (inc VAT)• EU £995 (inc VAT)
Presented By Andy Nicol [email protected]
• No Win No Fee• At least £50,000 capital allowance
identified• Survey fee paid upfront
(reimbursed if < £25k)
Furnished Holiday LetsFees
Presented By Andy Nicol [email protected]
• Instruction• Involvement of accountant and
conveyancing lawyer• Capital allowance experts, surveyors,
report writers• HMRC matrices
The Process
Presented By Andy Nicol [email protected]
• 10 weeks• Clients accountants signs off report• Cheque for previous year’s allocation• Offset against future years tax
liabilities
The Process
Presented By Andy Nicol [email protected]
• Working with accountants• Will it affect my capital gains tax?• I bought my property 10 years ago, is
that a problem?
Presented By Andy Nicol
FAQs
