Regulation  

‘Advisers eligible for tax rebates on business costs’

Shaun Murphy, managing director of Kent-based tax advisory firm Portal Tax, said many advisers who owned their own businesses were unaware of a transitional period for capital allowances in the Finance Bill 2012 which allows tax rebates on commercial property and other business costs. The rebate period will end in April 2014.

He added: “In the current climate IFAs need to save every penny that they can and at the moment most are unaware that such valuable capital allowances are waiting to be claimed.

“Literally hundreds of billions of pounds are due to IFAs owning their own business but most lack the necessary expertise to make the claim, which can be a complicated process.”

Article continues after advert

Mr Murphy said Portal Tax had helped clients claim an average of £105,000 in outstanding capital allowance for items including fire alarm systems, heating and air conditioning.

The average claimable allowance available to business owners was high as 40 per cent of the purchase price of their property.

Adviser View

Kevin Morgan, director of Hertfordshire-based Consilium Financial Planning, said: “There is a lot of crossover when it comes to capital allowances with the services of an accountant, but for anything related to my own business I would try to get the appropriate relief and I would advise clients to be aware of these allowances. Tax is becoming an emotive issue. My opinion is that we should pay our fair share, but no more.”