Our Tax Depreciation Team consists of chartered engineers and tax professionals, who work extensively in preparing optimised and compliant tax depreciation reports (TDRs).
Certain expenditure on plant and machinery (P&M) may qualify for capital allowances over a period of eight years. Expenditure on certain energy efficient equipment may qualify for 100% write off in the year of expenditure. A comprehensive and considered TDR will optimise a claim for capital allowances which may reduce a company’s tax liability significantly.
Those who may avail of capital allowances include:
- property developers developing new buildings, retro-fitting or renovating existing buildings;
- landlords / owner-occupiers carrying out refurbishment or fit-out projects; and / or
- tenants who carry the burden of ‘wear and tear’ of qualifying P&M.
Identifying qualifying expenditure on P&M for capital allowances purposes is a complex area as there is no legislative definition as to what constitutes ‘plant’. Reference must therefore be made to the extensive body of case law and our experience. Whether an item of P&M qualifies must be determined by:
- reference to the facts;
- the nature of the trade; and
- the function of the item in the trade
Click on the image below to download our Tax Depreciation Reports.
