What can be claimed as capital expenditure or capital allowances?
Simply put, it is any expense that has a life expectancy of over a year and would be considered an asset or an improvement to an asset. i.e. landscaping of grounds and car park area of your business. As long as the expense (usually over £500) adds value of your original asset (in this case the business premises) and will last over one year, it can be described as capital expenditure and therefore be claimed as a capital allowance.
Related Questions
- I BOUGHT/BUILT/REFURBISHED MY PROPERTY SEVERAL YEARS AGO, BUT HAVE NOT CLAIMED CAPITAL ALLOWANCES (OR SUSPECT I MAY HAVE UNDER-CLAIMED). CAN I CLAIM THE MISSED ALLOWANCES NOW?
- Can I also claim Enhanced Capital Allowances (ECA) on the same project?
- Who is responsible for maintenance cost and capital expenditure?
