Many business owners assume that all accountants provide the same service. In reality, the quality of advice and attention to detail can make a significant difference to the amount of tax you pay and the profitability of your business. We recently experienced this first-hand when we took over a husband-and-wife partnership from another accountancy practice as part of a fee acquisition.
A Routine Review Revealed Missed Tax Reliefs
As part of our onboarding process, we undertake a detailed review of previous accounts and tax returns. During this review, we identified that the previous accountant had not claimed two important forms of capital allowances that were available to the partnership:
- Structures and Buildings Allowance (SBA) at 3% per annum
- Capital allowances on qualifying integral features at 6% per annum
These reliefs are specifically designed to provide tax deductions for certain commercial property expenditure and building improvements. Where available, they can generate significant tax savings over a number of years. Unfortunately, neither claim had been made for the previous three years.
Recovering Lost Tax Relief
After reviewing the available information, we prepared revised partnership tax returns for the years that remained within the normal amendment window. This resulted in additional tax reliefs worth approximately £3,500. However, one of the years was outside the standard online amendment period. Rather than accepting that the relief was lost, we reviewed the legislation and determined that an Overpayment Relief Claim under Schedule 1AB TMA 1970 could be made. We prepared and submitted the claim to HMRC, together with supporting documentation. The result was a further £1,600 of tax relief recovered for the partnership.
By carrying out a thorough review and ensuring all available reliefs were claimed, we secured:
| Additional allowances from revised returns | £3500 |
| Overpayment Relief Claim | £1600 |
| Total benefit to the partnership | £5100 |
The clients were understandably delighted. What they had assumed were completed and correct tax returns turned out to contain significant missed opportunities.
This case highlights:
The Value of Proactive Advice
A good accountant does far more than simply prepare accounts and submit tax returns.
A proactive accountant will:
- Review previous years’ claims and elections
- Identify tax reliefs that have been missed
- Challenge assumptions
- Keep up to date with changing legislation
- Look for opportunities to improve a client’s position
Sometimes the value of that advice can be measured in thousands of pounds.
Could You Be Missing Out? Many businesses have owned or improved commercial property over recent years and may be entitled to reliefs such as Structures and Buildings Allowance or capital allowances on qualifying expenditure.
If you are unsure whether all available tax reliefs have been claimed, it may be worth arranging an independent review. In this case, a fresh pair of eyes resulted in over £5,100 being recovered for a single partnership. That is the difference that proactive tax advice can make.
Tax Compute
Chartered Management Accountants
June 2026