New build, refurbishment and extension
Background
Up to 15% of our work is for clients who construct new property or refurbish/extend existing premises.
Involving us in the process will help maximise your Capital Allowances claim.
Contractor Invoices
Contractors do not usually provide the necessary details on invoices to enable a client’s accountant to identify the costs relating to specific assets qualifying for Capital Allowances.
Details such as ‘interim certificate’, ‘work as agreed’ or ‘mechanical and electrical as per building specification’ are inadequate.
We will provide a detailed analysis and costing of all assets qualifying for Capital Allowances.
Structures and Building Allowance (‘SBA’)
An SBA can be claimed on new build projects commencing on or after 29 October 2018. The amount to be claimed when introduced was 2% per annum of the building cost on a straight line basis, this has now been increased to 3% per annum.
Special rules apply to Freeport sites where 10% per annum can be claimed.
Other expenses
As well as the contractor costs, a proportion of preliminary expenses, builders work in connection and professional expenses can also be added to a Capital Allowances claim. In our experience these costs could be between 15% – 30% of the total project expenditure but because accountants are not quantity surveyors they often miss this valuable addition to the Capital Allowances claim.
