Paul Wood

Registered with Property118.com
Tuesday 18th October 2016


Latest Comments

Total Number of Property118 Comments: 2

Paul Wood

22:54 PM, 24th October 2016
About 4 years ago

Capital allowances on Furnished Holiday Lettings

Hi,

Thanks for your question.
I work on a specialist allowance called capital allowances which are eligable on permanent structures.
Capital gains / losses and capital allowances are two different tax allowances.
Capital Allowances are claimable from eligable buildings inc FHL's, however FHL's have special qualifying criteria in renting out and the allowance is only allowable against the income of that property.
Caravans are current a deep discussion as to eligability as a FHL and I suggest chatting to an experienced accountant within this field.... Read More

Paul Wood

10:27 AM, 18th October 2016
About 4 years ago

Capital allowances on Furnished Holiday Lettings

Hi

In simple terms (although nothing is simple!) You can claim AIA on any capital allowance items in the first year of purchase up to the total value of the allowances for that period.

The capital allowances are for items within the FHL that are allowable as used by the FHL business.

If you have recently purchased the building as new then AIA could be valid.
If you have had the property some years then AIA would not be valid unless you have brought new items.

Capital Allowances on FHL are only valid if you have the property available for let for 210 days per annum and is actually let for 105 days.
The allowance can only be offset against profits for the FHL or FHL business.

Want to chat more contact me.... Read More