Veterinary surgery owners may be interested to know that they have the potential to claim tax refunds on items within their property, also known as Capital Allowances, and are based upon items that are considered part of the commercial building.
These refunds are available to UK tax paying commercial property owners, such as veterinary surgery owners who haven’t made a previous claim on their property. The reason why many owners are unaware of their potential to claim is because they often expect their accountants to have already made a Capital Allowance claim for them, however this is very unlikely due to the specialist nature of the work involved and the requirement for a team of chartered surveyors and chartered tax advisors.
The type of items that could be claimed on within a veterinary surgery would include air conditioning, advanced electrical equipment, toilet facilities and more, all which are essential to the running of the business.
Allan Mannion, Business Development Director at Capital Allowance specialists Headley Meredith Associates explains:
“One of the strangest aspects of this subject is that whilst the commercial property a business or individual owns is quite likely to be their highest single expense, they are rarely aware of the opportunity for tax relief that comes with it.
In the case of commercial property, you need a specialist team to determine the qualifying items embedded in the property, an understanding of how to use complex HMRC formula and an understanding of the complex tax rules. All of those skills can be applied by an Embedded Capital Allowance expert.”
The amount of tax refunds available may surprise some, as in most cases, around 25% of the original purchase price of the building would be identified as allowances, which means if a building was bought for £500k there would be around £125k of identified allowances, resulting in a substantial tax refund to the veterinary surgery owner.
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