How To Make The Most of Your Commercial Property – Consultants Hayven Property Tax Explains All

Do you own or are looking to buy a commercial property? The purchase was an investment and so you will want to make the most, and be as tax efficient as possible, with your commercial property.

Owners or investors in commercial property in the UK get very few “tax breaks”. So, it may surprise you to know that a legitimate and valuable form of tax relief,  “capital allowances” are either under-claimed or not even claimed at all. Recent data suggests that only 10% of eligible claims are actually made. This may be because developers and investors are either unaware of capital allowances or believe the process is too complicated.

Hayven Property Tax offers a consultancy service to ensure the ownership of your commercial property is as tax efficient as possible, including processing capital allowance claims.

How To Make The Most of Your Commercial PropertyThe process is not complicated, however, it can be time-consuming. With huge tax rebates and/or lower tax bills – it is worth investing the time to explore your chance of a claim. Utilising commercial property tax consultants, such as “Hayven Property Tax”, allows you all the benefits of making the claim, without the heavy lifting and time-consuming activity – as they do it all for you.

Offices to Rent or Convert to Housing?

On the 6th April 2016 an amendment to the “permitted development rights” allowed commercial property owners to convert the property to residential use, without gaining planning permission. This was previously a “temporary” right, which was made permanent. This applies only to England. Wales and Scotland have different guidelines (call a Hayven property Tax consultant for the latest guidance).

During late 2016 and into 2017, many commercial property owners converted their property to residential use.

The “relaxation” in required planning permission aimed to create more residential housing throughout England. However, the subsequent loss of commercial properties to rent or lease and a slowing of the residential property market meant that keeping the use as “commercial” could be a better investment.

If you own a commercial property and are considering converting it to residential use you may wish to consider:

  • Are the current house prices / rental income on the rise in your local area?
  • Are any large “new build” developments planned near your commercial property?
  • Are other properties being converted leaving a shortage of commercial space?

If rental income is static or even declining, there are a number of new build developments in your area moving the “supply and demand model” (although they may also be pushing up house prices locally) or the number of commercial properties available is dwindling (allowing you to get better rates on renting or leasing your property) then keeping your property for commercial use could be a better option.

Buying or making improvements to the commercial property could make a “capital allowance claim” possible.

Redevelopment and Refurbishment Projects

Although you can no longer make a claim against the structure of the building i.e. walls and ceilings, you can make a claim against fixed assets within the building i.e. kitchens, lifts, heating systems and bathrooms.

This really comes to the fore if you are redeveloping or refurbishing a commercial property.

Whilst it is more than possible to make a claim on work already carried out, the best tax relief or rebates come when a “property tax consultant” is engaged prior to work commencing. Even better, if still at the planning stage. Then, the most tax-efficient strategies can be put in place to maximise the redevelopment work. If you consider that the relief or rebate can be as much as 35% for offices and 80% for retail space refurbishments – engaging a consultant who is an expert in property tax could be a very worthwhile exercise. Hayven Property Tax offers a free initial consultation to advise whether a claim is viable, they have a 100% record in HMRC compliance and have numerous case studies of commercial property allowance claims.

How Can Hayven Property Tax Help?

Whilst many property tax consultancy providers are led by sales teams who are driven by getting leads and enquiries, Hayven Property Tax is run by qualified Chartered Accountants. Compliant claims, exceptional and personalised customer service and maintaining their excellent reputation is at the forefront of their business.

Based in Cardiff, South Wales, Hayven Property Tax has experience of processing claims for buildings throughout the UK including England, Wales and Scotland.

Through the initial free consultation, they will establish the full eligibility of the claim. This way, you can fully appreciate any tax benefits before engaging their services. This is how, even though processing claims for over 10-years, all of their claims have been 100% HMRC complaint.

Depending on your individual circumstances and the history of your property, commercial property owners can recover any tax that has been overpaid, reduce future tax liabilities and in a lot of cases – achieve both.

Hayven Property Tax does not request upfront fees nor are there any hidden charges or fees. Fees are completely contingent on the final pool of allowances gained. In the very unlikely event the claim is rejected by HMRC then any fees paid are fully refundable.

You have nothing to lose and potentially a lot to gain. To see if you are eligible for a capital allowance claim against your commercial premises then please telephone 029 2077 7756