Background
Our client, Positif Care, acquired Ynys Hywel Activity Centre in August 2023. During the puchase process, it was established that the Vendor had not claimed capital allowances on the property. Having already worked with Zeal to complete tax relief claims on their other property acquisitions, Positif Care were aware of the benefit of capital allowances and instructed our team to negotiate the transfer of any unclaimed capital allowances from the seller, upon purchase.
£345,000
Seller purchase price
£90,723
Capital allowances uncovered
£22,680
Corporation tax savings unlocked
Overview of the claim
The Vendor had acquired the property for £345,000 in 2011, but had never claimed tax relief on the embedded fixtures found in and under the property. Our team were therefore able to complete a capital allowances claim on the original price paid by the Vendor. Zeal produced a capital allowances valuation report identifying the qualifying expenditure and drafted a s198 capital allowances election to transfer the value to our client.
What owner Mr Perrett said . . .
"ZEAL had already completed claims on my other properties and saved me tax. All I did was give them the contact details of the Vendor and they did everything else. ZEAL negotiated the transfer of the unclaimed capital allowances, completed the paperwork and saved me a further £22k in tax. Another great result!”
The result
Our client, Positif Care, acquired Ynys Hywel Activity Centre in August 2023. During the puchase process, it was established that the Vendor had not claimed capital allowances on the property. Having already worked with Zeal to complete tax relief claims on their other property acquisitions, Positif Care were aware of the benefit of capital allowances and instructed our team to negotiate the transfer of any unclaimed capital allowances from the seller, upon purchase. The Vendor had acquired the property for £345,000 in 2011, but had never claimed tax relief on the embedded fixtures found in and under the property. Our team were therefore able to complete a capital allowances claim on the original price paid by the Vendor. Zeal produced a capital allowances valuation report identifying the qualifying expenditure and drafted a s198 capital allowances election to transfer the value to our client.