Business has moved premises and taken on a new lease with legal fees.
It is my understanding that as legal the fees relate to a business premises BIM46415 which is capital in nature then they should be classified as a capital item on the balance sheet. Would this then amortise over the life of the lease with no tax relief given.
I've just been speaking to someone who says they just expense the fees in the year as a disallowable expense??
Am I wrong to capitalise the item or are they wrong? I just want to double check myself.