Refurbishment and Fitting Out
The approach adopted on these projects is identical to that taken for new build construction projects.
However, in these projects there tends to be a far higher proportion of the works that qualifies for allowances. This is because there is less expenditure on capital allowances non-qualifying building items (for example, walls, floors, doors, windows, ceilings etc), as most of these already exist in the building.
Claiming for Building Alterations
In addition to this, costs associated with building alterations incidental to the installation of plant may qualify for allowances.
For example, if a new lift is installed in a building the lift shaft, pit and the costs of cutting through the existing floors will qualify.
Building Repair Claims
Building repair costs can also qualify for a revenue deduction at 100%.
If, for example, holes in the roof of the building are repaired then the full cost of the repair will qualify as a tax-deductible expense.