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Holiday Lets Chaos

The dissolution of Parliament means that the government has dropped from the Finance Act the plans to abolish the favourable tax treatment of Furnished Holiday Lettings.
 
This may seem to be good news but the announcement creates more problems:

  • If Labour form the new government after 6 May, then the measures will be reintroduced in the post election Budget
  • But will the abolition be effective from 6 April 2010 as planned or 6 April 2011?
  • The other main English political parties have not indicated what they will do with this measure
  • Will they proceed along Labour’s lines or do they have other plans in mind?

The upshot is that landlords of holiday lettings are left up in the air with no certainty as to how their tax liability will be calculated for the years ending 5 April 2011 and subsequently.

 

Please do not hesitate to contact Victoria Bishop – or any of the team at robinson+co – on 01900 603623 or 01946 692423 for further advice.

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