Could you claim Capital Allowances?
Billions of pounds of tax relief go unclaimed every year. if you are a business owner you could be eligible for massive tax relief benefits, this is money set aside by the government to incentivise certain business activities.
Up to 90% of business owners do not know what they could be owed and each year the following entitlements go unclaimed with HMRC.
- £830 million in pension tax relief
- £84 billion in research and development (R&D) Tax credits
- £168 million in small items not expensed by small and micro businesses
- £6.67 billion of capital allowances go unclaimed each month with a yearly total of over £80 billion.
The government has had legislation in place to claim capital allowances since 1887, this is under the parliamentary act CAA2001. The average amount per claim is £100,000, this is a substantial amount and could free up cash for businesses to grow and some claims even end in a tax refund to be injected back into the business.
Capital Allowances are encouraged by the government to be claimed as it helps businesses to thrive and ultimately will stimulate the economy. Especially as we are facing a global pandemic, cash flow could be a massive concern for any company, so why find out if you qualify!