Insights
Seminars & Events
News

Latest Insights

Case Law – Gunfleet Sands v HMRC New Ruling

A Court of Appeal hearing on the Gunfleet Sands v HMRC case has given rise to substantial additional tax reliefs on costs, previously interpreted as non qualifying for Capital Allowances by the First-Tier Tribunal.

20 Mar 2025

Written by: David Gibson

Case Law – Mersey Docks & Harbour Company v HMRC

HMRC continue to raise enquiries and to disallow items of plant that could be used for a claimant’s trade. This case relates to the quay wall at the Port of Liverpool

14 Jan 2025

Written by: Clive Curd

Case Law – Changi Airport Loses $273m Tax Break

Changi Airport Group (CAG) made Capital Allowances claims over three years totalling $272,575,162 on assets including the runways and taxiways but lost with the Court of Appeal determining that the assets were structures and not tools of trade.

20 Dec 2024

Written by: Tom Lo

Archive

 

Latest News

Case Law – Gunfleet Sands v HMRC New Ruling

20 Mar 2025

A Court of Appeal hearing on the Gunfleet Sands v HMRC case has given rise to substantial additional tax reliefs on costs, previously interpreted as non qualifying for Capital Allowances by the First-Tier Tribunal.

Case Law – Mersey Docks & Harbour Company v HMRC

14 Jan 2025

HMRC continue to raise enquiries and to disallow items of plant that could be used for a claimant’s trade. This case relates to the quay wall at the Port of Liverpool

Case Law – Changi Airport Loses $273m Tax Break

20 Dec 2024

Changi Airport Group (CAG) made Capital Allowances claims over three years totalling $272,575,162 on assets including the runways and taxiways but lost with the Court of Appeal determining that the assets were structures and not tools of trade.

Furnished Holiday Lets – HMRC Clarify Legislation

07 Nov 2024

The window to claim Capital Allowances tax relief on furnished holiday lettings (FHLs) is fast decreasing before repeal of the legislation in April 2025 and HMRC have now clarified the transitional rules about who can or can't claim.

New Case Law – Capital v Revenue

04 Oct 2024

A recent important Supreme Court decision in Centrica Overseas Holdings Limited v HMRC addresses the deductibility of expenses incurred by a company. The bar to deduct costs has been raised considerably

HMRC To Increase Scrutiny on Capital Allowances Claims

04 Oct 2024

Not only are Allowances more advantageous than ever before, but HMRC are strategically targeting tax leakage – including through Capital Allowances. Getting the correct advice is essential

100% Full Expensing – What is it and why it’s important

09 Sep 2024

Hailed as the “Greatest Tax Break in History” when it was introduced in 2021, the 130% Super Deduction aimed to take some of the sting away from the hike in Corporation Tax rate that was announced in the same speech. Its replacement, Full Expensing (FE), took over in April 2023 as a slightly less headline-grabby 100% First Year Allowance. But what is it?

Some Good News for Furnished Holiday Let Owners

05 Aug 2024

Positive transitional rules have now been published allowing Furnished Holiday Let owners the ability to use Capital Allowances beyond April 2025

Case Ruling – HMRC v Altrad Services Limited

10 Jul 2024

The decision by the Court of Appeal will have far reaching implications in that it clearly resets the boundaries of what is a capital allowances avoidance scheme designed to increase the quantum of capital allowances claimed

If you are one of the many that have spent money on property in 2015 then this is a timely reminder to ensure that you are making full use of the £500,000 Annual Investment Allowance (AIA) before it is reduced at the end of the year.

Firstly, let us recap on the general principles.  The AIA is a first year tax allowance which enables the cost of certain qualifying property expenditure to attract 100% tax relief in the year of expenditure.  This is compared to claiming the standard rates of Capital Allowances where the tax relief is taken over a number of years.  Noting that the AIA is available for both corporate and income tax payers, including overseas investors.

It offers investors the opportunity to take advantage of a significant cash benefit arising out of a number of sources, namely, on developments, refurbishments, fit outs and also when buying property.

As an example, if you were a high net worth individual and you had £500,000 of allowable expenditure this year, you would get a tax deduction of £225,000.  At its current level, the AIA makes reviewing what may seem to be a small claim value, now more beneficial to pursue.

This however has a limited offering, given that the government have already announced that the AIA is to remain at its current level only up until 31 December 2015, after which the AIA drops to £200,000.  So the message is to claim now before it is too late.

There is also the opportunity to implement some tax planning, should a known capital project be due to commence around that time.  By making the payment unconditional before the 31 December 2015, it will enable the payment to attract the AIA even though the physical monies paid out will be in the following period.

Contact one of our Directors to discuss how you can take advantage of this and we can offer a free, no obligation initial review.