Purchase of care home: claim for capital allowances
In Tapsell Tapsell & Lester (t/a The Granleys) v HMRC(TC01231 – 13 July) a partnership (G) purchased a care home in December 2003 for £650 000.
In the purchase agreement £597 500 was attributed to the property while £40 000 was attributed to fixtures and fittings and £12 500 was attributed to goodwill.
G claimed capital allowances on the basis that £106 014 of the £597 500 was attributable to plant and machinery.
HMRC rejected the claim and the First-tier Tribunal dismissed G’s appeal.
Judge Blewitt observed that it appeared that the vendors had been entitled to claim capital allowances in respect of the expenditure in question.
G had produced no evidence to show that the vendors had not made such a claim.
Therefore the effect of CAA...
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Purchase of care home: claim for capital allowances
In Tapsell Tapsell & Lester (t/a The Granleys) v HMRC(TC01231 – 13 July) a partnership (G) purchased a care home in December 2003 for £650 000.
In the purchase agreement £597 500 was attributed to the property while £40 000 was attributed to fixtures and fittings and £12 500 was attributed to goodwill.
G claimed capital allowances on the basis that £106 014 of the £597 500 was attributable to plant and machinery.
HMRC rejected the claim and the First-tier Tribunal dismissed G’s appeal.
Judge Blewitt observed that it appeared that the vendors had been entitled to claim capital allowances in respect of the expenditure in question.
G had produced no evidence to show that the vendors had not made such a claim.
Therefore the effect of CAA...
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