What Are Embedded Capital Allowances?
The Capital Allowances Act 2001 allows you to claim tax relief on the purchase of assets that cannot be included in the profit and loss account when preparing your year-end accounts.
This most commonly applies to the purchase of commercial buildings and is often overlooked by accountants. To make a Capital Allowances claim, you must be a UK taxpayer. Claims can be worth up to 40% when purchasing a property, whether it is new, existing, or constructed by you.
If the claim relates to a renovation, extension, or other alterations, the relief available could potentially exceed 40%.
Carl Price
Financial Controller Laltex Group
‘Your team have worked on 3 commercial properties for us, and I have been very appreciative of the work carried out and the allowances we have achieved’
James | Founder
O'Grady Investments
‘Working with Hypertech Partnership has been an absolute pleasure. It’s rare to find a consultancy that not only delivers expertise with precision but does so with a genuine commitment to client success.
Anna
Teltronix
We found Hypertech Partnership to be highly professional and efficient throughout the process. Their response times were excellent, they were always happy to clarify any questions, and they made what could have been a complex process feel smooth, quick, and straightforward
An Embedded Capital Allowance tax claim can only be made on a commercial property.
As long as the entity holding the commercial asset is paying tax in the UK you may qualify.
Properties held within a pension fund are not eligible for capital allowance tax relief. However, if you are seeking to purchase from a Pension Fund then contact us today.
Up to 10% of your property’s purchase price could be sitting in unclaimed tax relief
Most property owners are unaware that UK tax laws allow them to claim Embedded Capital Allowances, missing out on significant savings.
