I have a client that has set up a limited company to operate a narrow boat holiday let business.
Does anyone know if there is any specific HMRC guidance on narrow boat for capital allowance purposes - this is both for the initial purchase of the boat and also for the repairs to get the boat up to lettings standard?
As boats are classed as a wasting chattel then no CGT will be due on disposal (unless capital allowances are claimed)?
Any guidance would be appreciated.
Replies (7)
Please login or register to join the discussion.
I liked this quote from the website you linked,
"Please note, this is a fairly aggressive form of tax planning and HMRC may try to offer some resistance. "
Also note it is out of date re required days to qualify as FHL suggesting it was written a while ago.
Function v. setting - https://www.gov.uk/hmrc-internal-manuals/capital-allowances-manual/ca21135