Capital allowances available on new campsite?

Capital allowances available on new campsite?

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Hi All

Can anyone advise on the appropriate capital allowances for a new campsite business (partnership) which has built a toilet / shower block. The appropriate expenditure is as follows:

Toilet block and associated fittings £46,000

6 x tipi sites £8,500 (P&M?)

Water & Electricity connection fees £3,500 (P&L?)

Track and road preparation £6,000 (IBA as structure?)

This is for a family member doing there own Tax return, my tax knowledge is not what it once was.

I have gone through the capital allowance manual and am going round in circles.

Any advice, help greatly appreciated

Thanks

Jeremy

Replies (4)

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By dunhamsjd
24th Jan 2011 14:33

Initial thoughts

Jeremy,

Some further breakdowns will be required but here are some initial thoughts:

Toilet block & associated fittings - this will require a further breakdown to distinguish between the elements which could quailfy, sanitaryware, hot & cold water, plumbing, electrical works, fittings etc, and those which would not, the building which houses the toilet blockTipi sites - Not sure what these relate to so more information would be neededWater & electricity connection fees - Non-qualifying if they are mains services (s21CAA 2001) but if they are additional supplies to the site then there could be a case for including as p&mTrack & road preparation - non qualifying

It would appear that the costs should all be treated as capital expenditure so the only relief would be via capital allowances.

Given the numbers stated in the question then it is likely that the qualifying expenditure would all be covered by the Annual Investment Allowance, but this needs to be confirmed.  Any excess qualifying expenditure would need to be allocated to the main pool or special rate pool for any integral features expenditure.

If you want to discuss you can call me on 0118 933 2588

Stephen

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By thisistibi
24th Jan 2011 15:17

Agree

I agree with the above poster, isn't a Tipi a tent?  In which case it should qualify for P&M.

Don't forget that IBAs have been phased out... (although I don't think your client would have qualified anyway).

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By chaseaccounts
08th May 2013 11:55

Campsite

We have a client in a similar situation but they have installed Camping Pods. Look like a wooden tent. but with beds and heat/light.

Also lots of other wooden buildings for washing up/showers etc.

 

Any suggestions

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By DRJOHN
15th Oct 2013 15:52

CAMPING PODS

Has anyone claimed Capital Allowances on Camping Pods situated on a caravan site, treating them as P&M?

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