Hotel in Edinburgh

A luxurious hotel was acquired in Edinburgh for Β£5m in 2019. HMA Tax's thorough investigation into the property revealed Β£2m in unclaimed Capital Allowances.

Capital Allowance claim for an elegant hotel in Edinburgh

The Property

In 2020, an experienced hotelier approached HMA Tax with a lavish hotel located in the heart of Edinburgh. They had purchased the property for Β£5m in 2019, and had since upgraded various facilities to elevate the guest experience.

Although the renovation had been finalized, and the owner had worked with their accountant to claim the costs, they were uncertain whether all Capital Allowances had been accurately identified and claimed.

Our Approach

HMA Tax accepted the challenge to unearth any unclaimed Capital Allowances accessible to the hotel owner. Our team performed an exhaustive review of the costs incurred during the improvements and identified that a significant portion of the capital allowances had not been claimed.

Using our vast knowledge of Capital Allowances, we pinpointed Β£2m of unclaimed capital allowances, readily available to the owner. We produced an extensive report detailing our discoveries, which included a rundown of assets that qualified for capital allowances and the corresponding values that could be claimed.

Upon the identification of the unclaimed capital allowances, we worked in concert with the owner’s accountants to ensure the tax savings were optimized. Our team was present through every stage of the process, from the formulation of the necessary paperwork to cooperation with HMRC to secure the tax savings.

Thanks to HMA Tax’s expertise and dedication, the hotel owner was able to claim Β£2m in unclaimed capital allowances, resulting in a tax saving of nearly Β£400,000.

Our successful collaboration stands as a testament to HMA Tax’s ability to provide tailor-made solutions that enable commercial property owners across the UK to reap the full benefits of their investments, ensuring they received substantial tax savings.