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BIRMINGHAM: A property developer acquired a serviced apartment complex located in Birmingham worth just under £3m.

The property developer carried out a review prior to the acquisition of the serviced apartment complex, and with the help of a Capital Allowance specialist, identified £640,000 of qualifying expenditure, generating over £128,000 of tax savings. Quite the boon accompanying the acquisition.

This property developer applied one of the UKs most underutilised, yet most worthwhile tax mechanism available for commercial property owners to generate this tax saving. It is known as an embedded Capital Allowance claim,

Capital allowance claims are a form tax relief that allow a business or individual to reduce, or write down, the value of their embedded capital assets.

Any commercial property owner can start the process to claiming their embedded capital allowances through engaging a specialised firm. This is due to the complex statutory requirements and particular skillsets required to complete an accurate claim, thus experienced teams of tax specialists and expert surveyors are essential.

At HMA Tax, our award-winning team regularly completes hundreds of claims each month, ensuring that they are handled with care and processed quickly and efficiently.

With each claim, our teams start by verifying whether there have been any prior claims for the fixtures by a previous owner. For this property, our Birmingham team were involved in reviewing all available schedules and relevant legal documents prior to the acquisition to ensure our client can claim the full amount of Capital Allowances.

Based upon this review we estimated that a sizeable amount could be claimed as an initial refund, as well as ongoing tax relief for years to come.

For claims such as this, the quality of the property survey at a granular level is integral, as the due diligence of the surveyor and their expert knowledge can impact upon the size and value of the claim. Surveyors with a great deal of experience in identifying embedded Capital Allowance items within commercial properties are vital.

Underpinning the surveyor’s experience, is the expert knowledge of our tax specialists. At HMA Tax, our team quickly packaged together the claim and generated the significant tax rebate and relief.

In just 6 weeks, the embedded Capital Allowances were identified, valued, and claimed by our client’s serviced apartment complex.

All of the claims  HMA Tax are risk-free exercises that produced fantastic results for our clients. Our 100% success rate of claims accepted by HMRC means that HMA Tax holds a flawless track record for consistently providing our clients with the best possible service.

A usual review will take between six to eight weeks. Once we have the confirmation from you to proceed, we will arrange to speak to your Accountant to obtain the necessary information.

If you own a commercial property and would like to find out more about how you could improve your overall tax position, please call Miguel Ramskill, Senior Claims Specialist on 07540 187913 or email for more information.