Low Awareness Of New Capital Allowances Tax Legislation Property Industry Set To Lose Out 07.03.2014 Millions of pounds could be lost due to low awareness surrounding a significant change in capital allowances legislation which comes into force in April 2014. Capital allowances provide UK commercial property owners with the ability to claim tax relief on items that are fixed to the property such as heating, air-conditioning systems and lighting. These allowances can be deducted from the owner’s taxable profit, which in turn reduces their tax bill. The new pooling requirement could mean that any uniformed or poorly advised purchasers of property could lose out on their right to claim capital allowances on the fixed plant and machinery transferring with the property. This could have an impact on the future value of the property if the allowances are not available. Commenting on the change, Graham Burrell, Head of Capital Allowances at CBRE said: "Although capital allowances are quite high on the pecking order of priorities when acquiring commercial property, their importance should arguably ascend to the most urgent. Inadequate advice during the due diligence stage could prove to be very costly for both parties. "Clearly the effects on the industry are far-reaching. We expect to see a shift in the way capital allowances are dealt with prior to transactions taking place, and we may begin to see the effects on market values of properties; particularly those where the allowances may have been lost." Tags Real Estate Alex Barnes Related articles 15.02.2017Cocoon Aims To Secure £2.5m For Latest Expansion Drive 14.02.2017Serious Fraud Office - The Big Funding Debate 14.02.2017Inflation Rises As UK Feels Effect Of Weak Pound Post-Brexit Vote 10.02.2017Today's Court Of Appeal Ruling To Have Impact on Uber And Other Firms In 'The Gig Economy' 09.02.2017Court Of Appeal Employment Ruling To Have Impact on 'Gig Economy'