By Roger Bates, Associate, Kerman & Co LLP
The government has extended the tax advantages available on furnished holiday lettings so that UK taxpayers who own and let out holiday homes in Europe can now benefit from attractive tax breaks for a limited period until 5 April 2010, when these will be scrapped completely both in the UK and abroad.
Since the income related tax benefits are short-lived, perhaps the biggest opportunity in these troubled times is for owners of European properties who are considering selling to do so before the 2010 deadline. The qualification criteria are business related which means that the recently introduced entrepreneurs' relief can be claimed so reducing the rate of capital gains tax from 18% to 10%.
Roger Bates is an Associate in the Private Client Department at Kerman & Co LLP. If require further information on this or any other aspect of private client services please contact Roger on 020 7539 7272 or [email protected]
