Capital Allowances

By combining in-depth automated analysis with deep technical knowledge, we help clients evaluate their capital expenditure, obtain the optimum tax relief and formulate long-term plans for managing their capital allowances.

As a business leader you make important decisions every day, requiring the ability to think strategically, prioritise courses of action and manage complex situations. When investing in assets such as real estate, fixtures or plant and machinery you can add significant value by considering your tax position alongside driving your business forward.

Our multi skilled team, including surveyors, tax accountants and engineers, can help, structuring transactions and quantifying costs to ensure you obtain the appropriate relief and allocate expenditure to the correct pools. We also often work collaboratively with HMRC and the Valuation Office Agency to agree your claim which can help to build a relationship with your tax inspector.

How can artificial intelligence (AI) help you maximise your Capital Allowances?

Utilising our specialist experience means you can be confident that your fixed asset processes are robust and deliver the required information to support your claims for tax relief in an efficient manner. We work with you to understand your requirements and apply best practice to deliver value through the asset lifecycle, from pre-acquisition planning to disposal.

At the core of our approach is a commitment to understanding how your fixed asset and cost processes are aligned with your broader corporate objectives, so we can help your business maximise its resources and reduce tax payable, supported by cutting edge artificial intelligence analysis software.

Here’s what we can achieve:

Our services

  • Buying and selling assets
    • Transactions advice and strategy – at all stages of buying and selling assets we can provide strategic advice and support to help you capture and retain tax relief including making appropriate elections and identifying the inherent tax relief embedded in assets.
    • Tax efficient design – we work with your teams to make informed and strategic decisions when specifying and procuring works. Early consideration of reliefs such as research and development allowances and enhanced capital allowances can significantly enhance and accelerate the relief available.
    • Entitlement review – we ensure you are not precluded from claiming allowances under complex legislative requirements and suggest commercial solutions to achieve your objectives.
    • Structuring – we advise on tax efficient structures to benefit from relief available.
    • Model reviews - we help you model the post-tax outcome for future capital expenditure and can use benchmarking data to measure competitiveness.
    • Contributions – we make sure you optimise the tax position on contributions made or received.
    • Contaminated and derelict land remediation relief – we help identify expenditure potentially  qualifying for 150% enhanced relief or a tax credit and help you navigate the conditions for claiming this relief
  • Ongoing capex
    • Capital/ revenue reviews – we determine whether expenditure should be capital or revenue for tax purposes allowing access to the relevant reliefs
    • Capital allowances claim maximisation – the depth of our expertise means we are able to  spot potential qualifying expenditure and ensure that it is allocated to the right capital allowance pool.
    • Analyse spend – our cutting-edge tools ensure you have a 360-degree view of your expenditure.
    • Enhanced Capital Allowances - we can advise in advance to assist with effective asset procurement or review specifications to identify expenditure qualifying for 100% relief or a payable tax credit.
    • Purchase price apportionment - we carry out apportionment of the price paid to acquire a property to put a value on plant and machinery fixtures eligible for tax relief.
    • Historic expenditure – we review your past expenditure to identify additional unclaimed tax relief that can still be unlocked to generate current and future tax savings and in some instances, cash repayments of overpaid tax.
    • Where HMRC have enquired into your existing claims for capital allowances we can help you resolve the position, and;
    • Knowledge transfer – we will work with your in-house teams to ensure they are up to date on the latest strategies and solutions.

Sectors

Feedback from a large property investor client:

I have used EY for a number of projects over the years, and the team continues to impress. Expectations (of quantum of claims) are realistic, but are regularly exceeded, and delivery of service is exemplary. The team is proactive and responsive, and I have no hesitation in picking up the phone to them with any capital allowances related query, assured it will be dealt with as efficiently as possible.

Our team has a depth of technical experience and credentials across all sectors, from retail to renewables, and financial services to hospitality and leisure. We work alongside other tax teams in your sector to ensure we provide a joined up service, with a detailed understanding of your business, to help unlock the tax relief the business is entitled to. With our experiences of modelling, transactions and compiling and agreeing claims with HMRC, we believe we are best placed to assist you with your capital allowances requirements.

EY - Katie Selvey-Clinton, Head of EY Capital Allowances

Katie Selvey-Clinton

Head of Capital Allowances

Meet the team

Katie Selvey-Clinton

EY - Katie Selvey-Clinton

Head of Capital Allowances
+44 (0)20 7951 3723

Stephen Heath

EY - Stephen Heath

Associate Partner
+44 (0)20 7951 0035

Suzanne Alcock

EY - Suzanne Alcock

Director
+44 (0)20 7951 0036
Power and Utilities

Rich Greatrex-Smith

EY - Rich Greatrex-Smith

Director
+44 (0)20 7951 7781
London

Giles Downes

EY - Giles Downes

Director
+44 (0)20 7197 9078
Real Estate

Charlie Ellis

EY - Charlie Ellis North

Senior Manager – North
+44 (0)161 333 2870

Adam Clarke

EY - Adam Clarke Midlands and South

Senior Manager - Midlands and South
+44 (0)121 535 2536

Brian D’Arcy

EY - Brian D’Arcy

Director – Scotland
+44 (0)141 226 9232