Land and property owners, including leases granted of at least seven years in length, or those with at least seven years left to run on an assigned lease, may claim this relief for expenditure incurred on removing or treating contaminants in the land or property, such as asbestos, radon and Japanese Knotweed, or for bringing land that has been derelict for a long time back into use.
Land Remediation Tax Relief Credits For Your Business!
When businesses consider expanding their physical footprint, derelict brownfield land often presents an enticing prospect due to its affordable price. However, concerns about underlying contamination can hinder deals from materializing. What many businesses overlook is the potential tax relief associated with redeveloping such sites.
Land Remediation Relief—also known as Contaminated Land Tax Relief—serves precisely this purpose. It’s the government’s way of offsetting the substantial costs incurred in removing various contaminants like asbestos, heavy metals, Japanese Knotweed, oils, tars, and more.
Despite its potential benefits, Land Remediation Relief remains vastly underclaimed. In 2017-18, only 1,600 claims were made, totaling £35 million in relief. Shockingly, this number hasn’t seen significant growth in recent years, with relief figures for 2021-22 remaining at £35 million.
Understanding Land Remediation Relief:
This relief allows companies to claim 100% of the remediation costs against their corporation tax bill. An additional 50% can be claimed for qualifying costs associated with cleaning up contaminated land acquired from a third party, posing harm to people, animals, or causing water pollution.
Qualifying activities include:
- Removal or treatment of Japanese Knotweed
- Removal of asbestos
- Treatment of gases and chemicals within the land
- Removal of underground contaminated tanks
- Removal of concrete foundations, pillars, and bases
Already Carried Out Work?
If you’ve previously undertaken work that could qualify for Land Remediation Relief, you might still benefit. Claims for this relief can be backdated two years, potentially unlocking significant advantages for your company.
Land Remediation Relief can be a game-changer for obtaining suitable premises at the right price. If you’re curious about your eligibility or considering making a claim, contact Reclaim Tax UK. Our team of experts can guide you through the process and help you maximize your benefits.
Are You Eligible?
To be eligible for Land Remediation Relief:
- Be a company
- Have incurred qualifying costs in remediating contaminated land
- Use the land for a qualifying purpose
If you meet these criteria, you could be eligible for Land Remediation Relief. Connect with Reclaim Tax UK today to explore more about this relief and understand how it can work for your business.
Ready to Explore Land Remediation Relief? Contact our tax relief specialists at 01743 298980 or email firstname.lastname@example.org to kickstart your claim and uncover hidden tax opportunities!