16 September 2013
Press ReleasesThames Valley accountants and business advisers James Cowper Kreston has stepped up to the bar and is helping investors and the new owners of the Hungerford Newtown pub, The Tally Ho, secure important tax reliefs on their investments.
Supporters from around the world and the local community rallied around The Tally Ho when it closed in 2012, forming a company, The Tally Ho Community Pub Ltd, to buy back the pub from a property developer. Investors have raised just over £200,000 and plan on re-opening The Tally Ho in October this year.
James Cowper Kreston has provided tax advice to the new owners and investors of The Tally Ho, enabling them to claim valuable tax reliefs on their investments.
Chris Lee, a Partner in the Tax team at James Cowper Kreston said: “It is not particularly well known in the pub trade, but investors in a company that owns a pub can frequently claim Enterprise Investment Scheme (EIS) or Seed Enterprise Investment Scheme (SEIS) tax reliefs which they can then offset against any tax that might be payable on their income.”
Investors in The Tally Ho have been able to claim SEIS or EIS tax relief against their investments of up to 50 per cent. So, for example, an early stage investor who subscribed £20,000 to purchase shares could reduce the tax that he or she would otherwise pay by £10,000.
Chris explains: “The SEIS and EIS tax rules are complex, yet those businesses that can offer EIS relief will find it that much easier to secure investment. Whilst not all businesses in the leisure sector qualify, it is being increasingly used by those wishing to buy or invest in a community pub or restaurant.”
James Denholm, a director of The Tally Ho Community Pub Ltd, said: “We have had a terrific response to our campaign to save The Tally Ho and that is in no small part thanks to Chris Lee and his team at James Cowper Kreston. The ability to offer EIS has made an enormous difference offering a valuable tax relief to our investors. I will look forward to sharing a drink with Chris when we open.”
The Tally Ho is still seeking £30,000 to complete the renovation of the pub. Visit www.savethetally.org.uk for further information or if you can help.
Chris Lee, Partner, James Cowper Kreston LLP, 44 (0)118 9590261 or email
