VAT Claims
Could your park be owed a VAT refund? Parks that have sold new lodges, caravans or park homes in the past four years may be entitled to reclaim VAT previously paid to HMRC.
A successful Tribunal challenge to HMRC guidance
When a new holiday caravan, lodge or park home is sold, VAT treatment depends partly on how the internal removable contents of the unit are valued.
Historically, HMRC guidance suggested that operators should increase the value of these contents in line with the overall selling price, which meant that 20% VAT was often paid on an inflated value of the contents.
This approach has now been successfully challenged at Tribunal, creating the possibility for businesses to reclaim overpaid VAT on sales made during the past four years.
For some operators, this can represent a significant financial recovery.
£2 million
VAT refund secured
This approach has already resulted in millions of pounds being reclaimed for park operators, including a £2 million refund secured for Parkdean Resorts.
Who may be eligible
Parks that have sold new lodges, park homes or static caravans
Sales made within the past four years
Operators who followed HMRC guidance when accounting for VAT on those sales
Specialist support
Michael works in partnership with VAT specialists at some of the UK's leading professional services firms. Together they provide a combined service — Michael assesses and values the internal removable contents of the units sold, while a specialist tax consultant prepares and submits the VAT claim to HMRC.
Using principles established through the Colaingrove Tribunal case, a methodology has been established for assessing and submitting claims based on manufacturers' invoicing structures, typical operator margins, and valuation principles established through case law.
Fee Structure
The service is offered on a success-based basis. Fees are typically:
of the VAT refund received
How the process works
Initial Discussion
A confidential conversation to understand your park, sales history and whether a claim may be worth exploring.
Preliminary Review
A high-level assessment to determine whether the park's transactions may qualify for a VAT reclaim.
Valuation and Evidence
Michael assesses the internal removable contents of the units sold, while a specialist tax consultant prepares the supporting claim documentation.
Submission to HMRC
The tax specialist submits and manages the claim process with HMRC on your behalf.
Explore a Confidential Discussion
If your park has sold new lodges, caravans or park homes in the past four years, it may be worthwhile exploring whether a VAT reclaim is possible. Michael would be pleased to arrange a confidential, no-obligation discussion and, if appropriate, introduce you to the team of tax specialists to explain the process in more detail.