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Purchase & Refurbishment of Holiday lets in the South West

Our client purchased two residential properties that were converted to holiday lets. Almost £700k was spent to acquire the properties and carry out refurbishment work between 2017 and 2020. No tax relief had been claimed on the capital expenditure.

RESULT:

Identified £187,632 as qualifying for capital allowances.
Total income tax savings £75,052 (higher rate taxpayers)
Cash repayment £25,889

Purchase of a Caravan Park in Lincolnshire

Through our membership with the British Holiday & Home Park Association (BH&HPA), we were contacted by a caravan park owner in Lincolnshire. They had become aware of the opportunity to save tax by claiming capital allowances on their park which they had purchased in 2011. Zeal were able to quickly identify that the site qualified for a capital allowances claim and arranged for one of our surveyors to visit the site. Within 10 days of the first contact from the client, we submitted the claim to HMRC.

RESULT:

Identified £197,831 as qualifying for capital allowances.
Total income tax & NI savings £83,089
Cash repayment £14,692

Refurbishment of a Cinema

Our team was contacted by an accountancy firm we frequently work with to provide advice on the refurbishment of a cinema room for a charity. Several grants had been received towards the refurbishment works so they were unsure how to treat them for tax purposes and if there would be an impact on any capital allowances claim. Zeal reviewed all the grant paperwork and refurbishment costs and produced a report that analysed the costs and allocated the grant income appropriately.

RESULT:

Identified £110,346 as qualifying for capital allowances (net of grant income).
Total corporation tax savings £20,965

Purchase of Children’s Nursery in Sheffield

Our client incurred £339,000 to purchase a Nursery building in 2006. 

RESULT:

Identified £65,139 as qualifying for capital allowances.
Total income tax & NI savings £18,890
Cash repayment £3,405

Purchase of an Osteopathic Clinic in Hampshire

Our client incurred £288,750 to purchase a building for use as a clinic in 2010.  The property is let to the clients limited company. The claim for tax relief was made against the rental income received by our client.

RESULT:

Identified £63,583 as qualifying for capital allowances.
Total income tax savings £12,716

From all the team at Zeal, we’d like to wish you a Merry Christmas and a Happy New Year!