Capital Allowances are the primary means of obtaining tax relief on commercial property for business owners and investors. However, the rules are complex and failure to comply may lead to losses for your client.
Commercial property solicitors are often asked to provide advice on Capital Allowances, or to justify why they have not included Capital Allowances on property transactions in the sale agreement – some have even been sued over this. Not giving the right advice may involve a claim against the firm or loss of a client, or both. By understanding the issues involved and knowing what questions to ask, it’s likely that you can reduce your clients tax liability and, in some cases, help them reclaim thousands of pounds in overpaid tax.