Tax man to look at BPR (From South West Farmer)

Tax man to look at BPR

4:21pm Tuesday 12th May 2009

• Print
• Email
• Share
• Comments(0)

WITH holidays in the UK this year likely to be more popular due to the weakness of sterling, holiday cottages remain an important source of income for a number of smallholders and landowners.

The Inland Revenue has indicated that they are reconsidering their historical approach to whether Business Property Relief will be available for holiday cottages in the event of death or transfer of the asset. Historically, furnished holiday accommodation has normally been considered a business, when the period of each letting was short term. HMRC is now scrutinising closely the level and type of service provided by the owner of the holiday cottage.

Generally, the more services provided, and the more time spent in providing those services, the better the chances of a successful BPR claim.

• Print
• Email
• Share
• Comments(0)