Hi - a client has sent me a couple of articles about a company offering to claim capital allowances on part of the purchase price of buy to let and furnished hol accommodation.
I wondered whether this was a case of establishing the cost of integral fittings when buying say an unfurnished property and claiming this as plant? The article says that the particular allowance has only been available since December 2008 but for the life of me I can find no reference to it anywhere.
Anyone know what this is all about?
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dubious
We have had a couple of landlords ask about this and it surrounds claiming AIA for "integral features" in HMOs. It seem to rely on an interepration of the work 'dwelling' that is not in any legislation, but merely in a statement HMRC issued at some point.
Its pretty thin IMO.
Edited to add - for holiday let properties it follow the same rules as for commercial property, and its quite possible if you can get the survey etc all lined up. Probably limited use however as costs vs tax back is probably not going to be huge.
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I have always been under the impression you cant claim CA's of any kind on a "normal" property rental business. (except for pehaps a hoover or something like that!)
In my mind the buy to let is a normal property buisness.
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Paul, do you have acces to ciot monthly magazine.
There was a good article on there recently, this month or last month i think.
If not I can copy you in.
It is worth a read.
CCH
Hi, yes I too use the CCH a lot.
They are indeed v good mostly. although the girls in vat can be rather abrupt but are also v good so I can let them away with that.
The CA's question you raise is one which at the moment there is no definitive answer to.
CCH
I am interested in the praise of CCH
We used them at a former practice and moved away due to cost and reliabilty on some more complicated areas (used WJB Chiltern on that one)
What sort of cost is it these days for one person sole practitioner for the helplines ?
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I use CCH quite a lot more than Paul. It is always good to get a second opinion or clarity on a certain issue.
I would not rely on them for detailed tax planning or very technical matters.
I have previously used abbeytax (lexisnexis) and to be honest I personally find CCH a bit better.
dwelling house
I read this on the changing definition of "dwelling house" - great read and well worth it for getting a better understanding
http://media.bankingtaxfinance.com/App_Media/DavisLangdon/pdf/Copy_1_The...
Capital Allowances on Buy to Let Properties
Is there any chance anyone could copy me in with the article from the CIOT monthly magazine article on Capital Allowances on Buy to Let.
Many thanks
rented property - capital allowances on the building
The FHL should be no problem.
The Buy To Let might be a problem. It won't qualify as a FHL because "A period of longer term occupation is a letting to the same person for longer than 31 continuous days" Unless the Buy To Let is multiply occupancy under specific conditions such as broken up in to dwelling units like Halls of Residence (albeit small ones). I've attached an introductory powerpoint slide which covers some principles of property capital allowances. If you want to discuss you particular case, feel free to drop me a line. [email protected]
http://www.recoupcapitalallowances.co.uk/Property-Capital-Allowances.ppt