How did we help?
Overseas developer and investor
The works comprised the development of a large high-specification logistics centre in Spain, with office and welfare facilities. Externally there was a secure yard with access to the building through dock levellers and automatic roller shutter doors.
Tax depreciation specialists do not exist in many jurisdictions which often means that the entire cost of the property is depreciated at a single low composite rate overlooking significant levels of enhanced tax relief. In this example, the client’s overseas tax advisors intended to depreciate the whole property at a single rate of 3% per annum.
Value of international tax depreciation analysis and cost segregation:
Using a specialist methodology and combination of property costing, valuation and accountancy skills we analysed the total development expenditure of nearly €30m and segregated it into its component elements, writing-off each for tax purposes at the optimum rate available. This accelerated the annual tax saving from around €200k to almost €500k.
Analysis and coordination by an experienced tax depreciation specialist allows you to optimise the tax relief claim by segregating property expenditure into its components and writing-off each for tax purposes at the optimum rate available in that particular jurisdiction.