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Warehouse – allowances of £600,000

This project comprised the refurbishment and alteration of an industrial unit in the North West recently acquired by an investor. A separate claim for the acquisition of the building had previously been made by the owner.

Typical claimable items include: Sprinkler installations, CCTV, electrical systems, sanitary fittings, fire alarm and ventilation systems.

The investor incurred £1,500,000 of building expenditure. The Stuart Rivers Associates’ analysis identified £600,000 of Capital Allowances. Additional to the acquisition allowances.

This produces an overall tax saving for a 20% taxpayer of £120,000 for the investor with a first year saving of £14,400 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 £49,600.