Click to contact us or call 02476 353537

HM Treasury response on Furnished Holiday Lettings consultation will inject some value into holiday property market

saffery_champness

Following HM Treasurys response to the furnished holidays lettings consultation published yesterday 9th December 2010, the Landed Estates & Rural Business Group of UK top 20 accountancy firm Saffery Champness has highlighted two key areas in that response that will be of interest to those operating within the sector.

delaying the introduction of the revised thresholds until April 2012

reducing uncertainty and complexity by allowing businesses which meet the revised occupancy threshold in one year to elect to be treated as having met it in the two following years, providing certain criteria are met.

Andrew Arnott, a partner in the Landed Estates & Rural Business Group at Saffery Champness, comments.

“This is great news for people who are running a business involving furnished holiday letting accommodation. It removes the considerable uncertainty that has been surrounding these businesses particularly at a time when the selling market for these properties is so difficult. This proposal should inject some value into the holiday property market. The introduction of the possibility to elect for the threshold occupancy conditions to be carried forward into the following two years once met in one year is very welcome. This will provide furnished holiday letting businesses with stability over their tax affairs and will allow them to ride over any lean years in lettings that may arise from dips in the economy or other unforeseen ‘disaster years’, such as those seen in recent years due to flooding or foot and mouth disease. The fact that the Government estimate that a quarter of businesses currently fall short of the revised qualification conditions means that the implementation of the new rules will still have significant effect on a large number of businesses when they do come into force.

Saffery Champness has 58 UK partners and more than 400 staff, with nine offices in the UK (including Scottish offices in Edinburgh and Inverness) and one each in Guernsey and Geneva. The firm celebrated its 150th anniversary in 2005, after the firm was founded in 1855 by Joseph John Saffery. For further information about the Company, please visit www.saffery.com

Saffery Champness has worldwide associations in over 100 countries through its membership of the global association Nexia international.

The Landed Estates Group is headed by a team of 15 partners who advise landowners, agricultural and rural businesses on financial and tax matters, particularly capital taxes and VAT.

Leave a Reply

Your email address will not be published. Required fields are marked *

https://www.farmingmonthly.co.uk/contact/A great opportunity to promote your business to our dedicated readership of farmers, landowners, estate managers and associated agricultural professionals.
Contact us today on 02476 353537 and let's work together to drive your business forward.