Can these property losses be carried back?
I’d appreciate any input on this please.
Husband and wife own a rental property. The property was a furnished holiday rental for many years, then a furnished long term let for 5 years. The long term tenant left the property damaged (December 2011 when the tenant left). Husband and wife decided to turn it back into a furnished holiday let following repair to damage. Repairs have been carried out between January 2012 and November 2012, and were due to be completed along with the first booking in December 2012.
November 2012 a landslide rendered the land around the property unsafe and halted the repairs. The current news is that it won’t be safe to even get close to the property until spring 2013 (possibly April 2013). Even then the property could be demolished because of the unsafe land. Meaning the December 2012 booking can no longer go head, neither can any further bookings until the situation is clear.
Can any losses be carried back here?