Family Office Real Estate

Now that non-resident investors are within the charge of UK corporation tax from April 2020, restrictions on relief from interest deductions (on both related party and bank debt) will apply. Therefore, it has become increasingly important to focus on other available reliefs, capital allowances being the most important of these. As the largest capital allowances practice in the UK, Deloitte’s team has a particular focus on property investors. They routinely advise clients that have already received capital allowances advice from other advisors and through their specialist expertise in over 90% of the cases are able to pull through significant additional tax shelter.

In the context of the rise in the main rate of corporation tax to 25% from 1 April 2023, optimising the capital allowances position is increasingly important for businesses.  Recent years have seen significant changes in the capital allowances regime, in particular, the introduction of enhanced first year allowances which apply to various plant and machinery investments made up to 31 March 2023 (see here).  Deloitte’s team is uniquely well placed to advise in this area, having liaised closely with HMRC in discussing the operation of the relief.

Key contacts

Peter Millwood (Partner, London)

Pavel Delvig (Director, London)

Adam Cook (Associate Director, London)