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Motor dealership with allowances of £175,000

This project comprised the construction of a single storey car showroom in North Yorkshire with associated offices and valet area.

Typical claimable plant available include: Intruder alarm, retractable bollards, fire alarm, CCTV, electrical systems and carpets.

The total cost of construction was for £870,000. Stuart Rivers Associates produced £150,000 of Capital Allowances including £25,000 of 100% Enhanced Capital Allowances (ECA) for heat recovery units that complied with the qualifying rules here.

This produces an overall tax saving for a 20% taxpayer of £30,000 (Plant and Machinery) for the owner with a first year saving of £7,750 excluding the impact of the Annual Investment Allowances (AIA). If the owner was able to benefit from the full value of the current AIA (£200k) then the first year tax saving would increase to £30,000.