I have a client company (surveyors) who quite often run projects throughout the UK. Rather than pay for B&B,hotels etc they have purchased a caravan to use as accommodation. Can I claim AIA or capital allowances on this?
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No - I am sure HMRC would argue it as a building - setting - in which the business is carried out"
but there may be an element of intergral features such as electrics and other plant contained in the caravan!
AIA on caravan
Hmm, well I've certainly claimed CAs on a site caravan which was used as an office as well as accommodation, but it was never questioned so did not have to stand up to scrutiny.
Likewise on a trailer with living accommodation used by clients who sell stuff at the larger shows, e.g. Chelsea Flower, Royal Show, Badminton etc.
It is a question of if it meets the qualifaction in the Captial Allowances Act - see the HMRC manual here
http://www.hmrc.gov.uk/manuals/camanual/ca22100.htm
A caravan is plant if it does not occupy a fixed site and is regularly moved as part of normal trade usage, even if it is only moved from its summer site to winter quarters
Re reading you question - it looks like it will be regually moved - so it is claimable - serves me right for not reading the point carefully. My client kept it in the smae place all year round - hence why it got blocked!