Crofter - repairs year before cessation

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Hello there

I have a client, a crofter who made repairs to a dutch barn in year 2020/21 amounting to circa £10,000 which covers repairing the roof, cleaning moss and sorting the slates, fitting timber to trusses and fitting concrete panels, side cladding and doors on it.  As this is repairs it can all be claimed for in the P&L, do you agree with me there?

My next issue is that this year 2021/22 he has become quite unwell and will not be able to continue to work as he's gone into a care home.  Most of the sheep have been sold.  But I just wondered would there be implication of claiming all the repairs in last years accounts for his next set to be cessation accounts?

I thank you in advance for your comments.

 

 

 

Replies (5)

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paddle steamer
By DJKL
23rd Nov 2021 13:49

How long had barn been on the croft?

How long had he farmed on the croft?

My inclination is also repairs provided the wear now repaired mainly arose during his tenure on the croft and the works were not required when he purchased the croft.

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Replying to DJKL:
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By A_P_1980
23rd Nov 2021 14:09

Thank you DJKL

He has lived on the croft all his life, he's now in his 70's.

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By bettybobbymeggie
23rd Nov 2021 14:03

When you say "fitting concrete panels, side cladding and doors on it" this suggests it was a traditional open dutch barn prior to this work. If so, then not necessarily repairs in my opinion.

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Replying to bettybobbymeggie:
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By David Ex
23rd Nov 2021 14:09

bettybobbymeggie wrote:

When you say "fitting concrete panels, side cladding and doors on it" this suggests it was a traditional open dutch barn prior to this work. If so, then not necessarily repairs in my opinion.

I know nothing about barns but saw “fitting” rather than “repairing” or “replacing” and wondered whether there was some obvious improvement. That definitely seems possible from your description of a Dutch barn.

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Replying to David Ex:
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By A_P_1980
23rd Nov 2021 14:11

Thank you both, yes I will need to enquire further to see if this part was infact a repair or improvement.

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