Repairs or Leasehold Improvements?

LouiseR Registered Posts: 59 💫 🐯 💫
Please can someone help.

A Ltd company has spent approx £10,000 on improving their premises/warehouse which they only rented for approx 12 months. The improvements were building a small dispatch office in the warehouse and concreting a parking area. Not removable items.

I know this would normally be classed as leasehold improvements but as they were only in the premises such a short time can this be expensed to the P&L?




  • LouiseR
    LouiseR Registered Posts: 59 💫 🐯 💫
    Does anyone have any comments/ideas? Thanks
  • deanshepherd
    deanshepherd Registered Posts: 1,809
    If there is no enduring benefit to the business then I would suggest it probably is inappropriate to capitalise the expenditure. Whether it then qualifies for tax relief is another question.
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