.png)
.png)
10 June 2010
Christopher Wills (TC479)
The taxpayer had income from property lettings. In his 2005/06 tax return he claimed £119 000 for repairs and renewals. HMRC said the amount claimed for repairs of an outbuilding was capital expenditure and therefore not allowable.
The taxpayer appealed and requested a review of the decision. The review upheld HMRC’s decision. It concluded:
- The outbuilding had been converted from storage to provide additional living which required substantial capital expenditure.
- If the outbuilding has been put back into good repair and still used for storage the expenditure might have been allowed as repairs.
- Plans and ‘before and after’ photographs showed different use after the work.
- The outbuilding was a separate building.
The matter proceeded to the First-tier Tribunal which examined the photographs of the outbuilding and judged that it had been in a...
Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.
