BPRA Tax Relief
The Business Premises Renovation Allowance (BPRA) introduced in April 2007 is an incentive to bring derelict or unused properties back into use through offering tax incentives.
The BPRA scheme gives 100% initial allowance against the expenditure of converting or renovating an unused business space into a useable business premises in certain designated areas.
BPRA investments can offer income tax relief for individual investors of up 100% on their cash investment. In most cases, investors will put up around 40-50% of the total cost with a non-recourse loan being utilised for the remainder. These taxation benefits facilitate investment by investors into derelict and unused business premises to bring them back into use. This scheme also benefits investors by offering them a potentially rewarding investment return with high tax relief while contributing to the regeneration of city centres and business districts.
In order to qualify for BPRA, buildings must have been vacant for at least 12 months previous to the initiation of the scheme. There is also a minimum investment period for the BPRA investment in order to receive the relief and this is seven years from when the building renovation is completed and brought back into use.
We work with a number of BRPA scheme providers and can advise on the process.
For more information please contact Iain Sim or Gill Groom.