Summergil School (formerly Womaston House School) provides education facilities and residential accommodation for children with complex needs associated with autism. Located in Powys, the school is owned and managed by Orbis Education & Care and comprises of several dilapidated buildings plus a modern sports and leisure facility. Following acquisition in 2016, Orbis carried out a major refurbishment project
Capital allowances uncovered
Unlocked in total tax savings
Karl DeGelas, Group Financial Controller said . . .
“We have worked with Zeal over the past few years to help us optimise the tax relief on our investments in our education and care facilities. Their specialist knowledge and expertise has provided us with significant tax savings that we were not aware we could claim. We have been extremely happy with the level of service provided to us and would highly recommend that those in the education & care sector seek their advice.”
Overview of the claim
As specialists in capital allowances and property related tax, Zeal were engaged by Orbis to carry out a capital allowances review on Summergil House to identify any missed claims for tax relief. Our team of qualified property surveyors and tax experts assessed the value of allowances due on the purchase of the school and carried out a detailed review of the contractor’s refurbishment costs.
The Capital Allowances survey identified qualifying items such as telecommunications, fitted furniture and fittings, ironmongery, and disposable installations, and special rate expenditure such as electrical, heating, ventilation and hot and cold water systems. Working alongside Orbis’ accountants, Zeal prepared detailed reports that were submitted to HMRC in support for the claims to tax relief. Zeal uncovered over £1.2m in unclaimed tax relief on Orbis’ investment in Summergil School. This generated corporation tax savings of more than £225k.