15:05 PM, 16th November 2017, About 4 years ago 1
I’ve a tax question concerning furnished holiday lets and personal occupation
In 2016 I bought a flat and spent £20k on renovating it, with a view to making it a furnished holiday let (FHL) in the short term. I also had in mind that in the long term the flat might make a home for my elderly parents, who are starting to have age-related difficulties in their current home.
The flat is now well-established as an FHL and doing a good trade. I intend to claim that £20k as a capital allowance.
If my parents move into the FHL, I assume HMRC will come after me for some of that £20k and any other deductions made as a FHL.
I don’t expect anyone on here to be able to say exactly how much I will owe HMRC, but I would like to know the approximate rules of thumb that HMRC would use to calculate my liability. I assume for example, that a portion of the £20k would fall due for each year that the flat is owner-occupied – i.e. that HMRC would not ask for £20k immediately.
Any thoughts gratefully received.
Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.
Advice and implementation provided by a practising Barrister-At-Law with £10,000,000 of Professional Indemnity InsuranceBook Now
Previous ArticleDWP inquiry into UC rent arrears
|“Account”||means an account required to access and/or use certain areas and features of Our Site;|
|“Cookie”||means a small text file placed on your computer or device by Our Site when you visit certain parts of Our Site and/or when you use certain features of Our Site. Details of the Cookies used by Our Site are set out in section 13, below;|
|“Cookie Law”||means the relevant parts of the Privacy and Electronic Communications (EC Directive) Regulations 2003;|
|“personal data”||means any and all data that relates to an identifiable person who can be directly or indirectly identified from that data. In this case, it means personal data that you give to Us via Our Site. This definition shall, where applicable, incorporate the definitions provided in the EU Regulation 2016/679 – the General Data Protection Regulation (“GDPR”); and|
|“We/Us/Our”||Means Property118 Ltd , a limited company registered in England under company number 10295964, whose registered address is 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB.|
|Name of Cookie||Purpose||Strictly Necessary|
|JSESSIONID||Used only to collect performance data, with any identifiable data obfuscated||No|
|__cfduid||This cookie is strictly necessary for Cloudflare's security features and cannot be turned off.||Yes|
|Name of Cookie||First / Third Party||Provider||Purpose|
|__utma, __utmb, __utmc, __utmt, __utmz||First||Helps to understand how their visitors engage with our website|
|_fbp||First||Helps to understand how their visitors engage with our website|