06 April, 2016 in Company News

Kingscrest VAT opportunity

Historically, all services provided by residential care homes / nursing homes have been VAT exempt. This was successfully challenged by Kingscrest Associates Ltd and Montecello Ltd (t/a Kingscrest Residential Care Homes) in 2002 and resulted in care homes being able to recover VAT on their expenditure.

As a result care home operators are able to recover VAT incurred prior to 21 March 2002 on any goods and services on which VAT was paid, such as building/renovation work and operating costs. In many cases, this can lead to a significant VAT repayment.

Even if the business has now ceased or was sold, a claim can still be made.

How we can help

CavanaghKelly can work with your business to check if a claim can be made. We can offer the following:-

  • An initial assessment to check if your business is eligible
  • Obtain retrospective VAT registration – a one off VAT registration to allow a claim to be submitted
  • Liaise with HM Revenue & Customs at all stages of the claim
  • Liaise with the relevant Trust in Northern Ireland, who are aware of the case
  • Compile the information to support the claim
  • Submit the claim to HM Revenue & Customs on your behalf
  • Offer a highly competitive contingent fee arrangement
  • Minimise the work involved for you and your staff

Please note that all claims must be made to HMRC by 31st July 2016. In order to guarantee completion of a claim in advance of this deadline, should you wish to proceed, we would be required to commence the claim process on your behalf by 6th May 2016.

If you believe your business may be eligible to recover VAT under the Kingscrest case, or if you want to find out more, please do not hesitate to contact Una McKearney in our tax department on 028 87752990.

Whilst every effort has been made by CavanaghKelly to ensure the accuracy of the information here, it cannot be guaranteed and neither CavanaghKelly nor any related entity shall have liability to any person who relies on the information herein. Information given here is for guidance only. Detailed professional advice should be taken before acting on any information contained herein. If having read the guidance here, you would like to discuss further; a member of our team would be pleased to help you.