Following an announcement in the Budget, owners of qualifying properties in the European Economic Area (EEA) can now also treat the letting as furnished holiday accommodation. Previously the rules only applied to qualifying accommodation in the UK, which meant that overseas properties had only ever been treated as investments for UK tax purposes, even if they would qualify if situated in the UK.
However, any owner of a qualifying property within the EEA should ensure claims are made promptly because the rules will be abolished with effect from 6 April 2010.
Qualifying holiday accommodation is treated for tax purposes in the same way as a trade and therefore subject to a more generous tax regime. Please see the related article on this page for further information.
For further information please contact Roger Harding
Date:24 April 2009
|
