The Chancellor, Rishi Sunak’s budget announcement should help turbo-charge capital investments in the UK with new super capital allowances costed at £29bn over the next 4 years. The extension of loss relief carry-back to 3 years is also positive and makes claiming capital allowances a potent tool in reducing corporation tax and triggering repayments of […]
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GLAIS HOUSE CARE LIMITED V THE COMISSIONER FOR HER MAJESTY’S REVENUE & CUSTOMS [2019]
UKFTT 0059 (TC)
Summary
HMRC has lost an interesting capital allowances case where it tried to limit the Taxpayer’s purchase price attributable to second-hand fixed plant and machinery to £1. The tax payer had claimed allowances of £318,792 based […]
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What are Capital Allowances?
Capital allowances (CAs) are a form of UK tax relief for businesses that incur qualifying capital expenditure on their commercial properties for use as part of their trade. Qualifying capital expenditure includes but is not limited to plant, machinery and business vehicles, in which the costs of assets may be eligible to […]
Read moreNurseries have substantial imbedded plant and machinery (P&M) items and repairs. However the less obvious items often get overlooked by accountants, surveyors and tax advisors.
Why does this happen?
There are many obvious items of plant such as loose furniture and fittings which accountants can easily identify and segregate to allowances. However there are additional imbedded trade related items […]
Read moreClients generally assume that their accountant or tax advisor deals with capital allowances. In fact some clients will ask their accountant if they claim allowances and they will respond that they claim all available allowances. However, as explained below, this can be misleading and they are doing their clients a disservice by not referring them to […]
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The new environment for capital allowances.
Why specialist help is essential.
Introduction
In the present environment tax planning has become very political. One area that successive UK governments have encouraged is the claiming of capital allowances.
Businesses are overlooking millions of pounds worth of tax allowances and your clients are likely to be among them. The reason the majority […]
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