Capital Allowances for Commercial agents
STax works closely with many different types of property professionals from commercial agents to LPA receivers assisting their clients to claim their full entitlement to capital allowances.
Whilst putting forward Capital Allowances can seem like a departure from your core message, it can make a huge difference to your client’s net investment outcomes. This can add value to your relationship with your client by delivering significant tax savings on their real estate assets. This can not only deliver extra revenue into your business but also give you a considerable competitive edge over your rivals by adding another differentiating factor to your service offering.
We have work with a wide range of national and local commercial agents over the years. All have found that have a capital allowances string to their bow has been a powerful addition to ensure their clients are receiving best advice, protecting them from the risks of non-compliance and winning instructions in competitive scenarios.
But won’t our client’s accountant already be doing this for them?
It is not likely they will have the relevant experience or sector knowledge to be able to provide the level of advice we can in this niche area. The fact that your client’s accountant does not cover the areas we do in the same depth is no negative reflection on them. Here in the UK we have a vast and complex set of legislation underpinning the tax systems. No one person or firm could be an authority on all of it. We work in conjunction with many general accountants in very much the same way as your GP might refer a patient to a heart specialist!
Some of the areas we can add value to include:
If your clients are buying or selling property Capital allowances present both a cornucopia of opportunity and a minefield of risk for the unadvised. Correct Capital Allowances advice can dramatically change the net end result of a transaction.
Changes in 2012 made effective capital allowances advice in a conveyance a must.
There are two key requirements that if not complied with can cause the complete loss of all right to claim Capital Allowances and even the levelling of surprise tax charges. So live conveyances are the hot potatoes!
Advice is generally best given before exchange of contracts, but transaction can potential be repaired after the fact.
From conducting Capital Allowances surveys to negotiating contract terms, STax has years’ hands on experience delivering the best possible Capital Allowances outcome for buyers and sellers of property.
This can help cement relationships with your existing clients, win new clients and close sales faster, sometimes of materially higher considerations. An industrial unit with £500k of transferable tax relief is more attractive and worth more than an identical unit with none!
When a property changes hands is often when we first meet a new client. However, the bulk of our work is on properties that are not being bought or sold.
Capital Allowance claims are driven by cost not value. Barring restrictions that can arise from how the purchase was handled, there is no statutory time limit on how far back you can look to claim against your expenditure. You could have bought or built a property 15 years ago and be perfectly entitled to claim against that expenditure in the more recent periods.
The most common way to utilise this relief is to carry it back through the amendment window (one year from the filing date) of your tax returns. This gives an effective two year carry back meaning a historic claim for capital allowances can not only save on current tax liabilities but also deliver rebates on past taxes paid.
We only charge as a percentage of the extra allowances we find and successfully claim. With no fixed fees or upfront costs of any format charged, as long are you are paying tax it is mathematically impossible to be anything other than better off working with us.
If you own or have incurred capital expenditure on your property and want to find out what you could claim, then please don’t hesitate to contact us today for a free no obligation Capital Allowances appraisal of your assets.