Ty-Carreg is a specialist residential care facility, located in Aberthaw, South Wales. The 12-bedroom property is owned and managed by Orbis Education & Care and provides support for adults with complex needs associated with autism. As a purpose-built property, facilities were designed and fitted out to a specification that meets the residents’ precise needs.
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 by HJR and would highly recommend that those in the education & care sector seek their advice.”
Overview of the claim
The facility was purpose built for Orbis. Upon completion, the finished building was acquired from the developer. As Orbis paid a fixed sum for the property, there was no detailed breakdown of the costs of the fixtures purchased with the building that would qualify for capital allowances. Working alongside Orbis’s accountants, our team of in-house property surveyors and tax specialists carried out a technical site survey and calculated the value of qualifying fixtures acquired with the building.
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. A detailed capital allowances valuation report outlining these findings was also prepared and submitted to HMRC. Almost £2m in unclaimed capital allowances was identified, unlocking corporation tax savings of £379k for Orbis.