In H Tevfik v HMRC [2019] UKFTT 600 (24 September 2019) the FTT found that a claim for capital allowances in relation to expenditure incurred in a residential building must fail.
Mr Tevfik had acquired three properties for the purpose of a ‘property business’ and had incurred expenditure on which he wished to claim capital allowances. HMRC considered that the expenditure was incurred on a ‘dwelling house’ and therefore did not qualify for plant and machinery capital allowances (CAA 2001 s 35). Mr Tevfik contended that the expenditure was incurred on plant and machinery in the communal areas of the properties which were not part of the ‘dwelling houses’ so that capital allowances were due.
The first issue was whether the discovery assessment issued by HMRC was valid for the purpose of TMA 1970 s 29. Agreeing with HMRC the FTT found that...
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In H Tevfik v HMRC [2019] UKFTT 600 (24 September 2019) the FTT found that a claim for capital allowances in relation to expenditure incurred in a residential building must fail.
Mr Tevfik had acquired three properties for the purpose of a ‘property business’ and had incurred expenditure on which he wished to claim capital allowances. HMRC considered that the expenditure was incurred on a ‘dwelling house’ and therefore did not qualify for plant and machinery capital allowances (CAA 2001 s 35). Mr Tevfik contended that the expenditure was incurred on plant and machinery in the communal areas of the properties which were not part of the ‘dwelling houses’ so that capital allowances were due.
The first issue was whether the discovery assessment issued by HMRC was valid for the purpose of TMA 1970 s 29. Agreeing with HMRC the FTT found that...
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