1. Graeme Davidson CA, Partner – EQ Accountants LLP
@eqaccountants.co.uk

2. Tax changes for holiday rental businesses
What is “Furnished Holiday Accommodation”?
Income Tax
Capital Gains Tax
Inheritance Tax
Other taxes

3. What is “Furnished Holiday Accommodation”?
In EEA [UK + EU + EFTA (excl Switzerland)]
Let commercially, with a view to making a profit
Furnished
Occupation tests

4. What is “Furnished Holiday Accommodation”?
Occupation tests (annual):
Available for letting 210 days
Actually let 105 days
No more than 155 days of long term occupation
If more than one property let, averaging can be used

5. Income Tax Relevant earnings for pension contribution purposes
Full mortgage/interest relief against rental income
Capital allowances on furniture and brown/white goods

6. Capital Gains Tax Entrepreneurs’ relief
Rollover relief on replacing business assets
Holdover relief for gifts

7. Inheritance Tax HMRC have raised the bar
Demonstrate that it is a business and not an investment
Owner involvement
High level of service

8. Other taxes LBTT and ADS 3% VAT registration threshold - £83,000
Business rates

9. Thank you Visit our stand
@eqaccountants