Furnished holiday lettings
Use this form to enter details about income from UK furnished holiday lettings.
See Land and property summary for information on profit and loss allocation.
This section includes the following tabs. Click on a heading to find out more about the boxes on each tab.
| Option | Description |
|---|---|
| Property reference | Enter a property reference. |
| Address | Enter the full address of the holiday letting. The first line of the address appears as the name of the item on the Annual Data Navigator. This is a required field. |
| Postcode | The postcode of the holiday letting. |
| Number of properties | This box will default to showing 1; change the value as required. |
| Date letting commenced | Enter when the letting of the property as holiday accommodation first began if known. |
| Date letting ceased | Enter when the letting of the property as holiday accommodation ceased. |
| All property income has ceased | Select this check box if income from ALL sources of property has ceased in the tax year and no source of property income will commence in the subsequent tax year. |
| Property let jointly |
Select this check box if the client shares the holiday letting income with another person, e.g. their spouse. Only enter details of the client's own share of income and expenses for the property. Note: When this box is selected the spouse's corresponding details are not updated. |
| Income from let property |
Enter the gross amount of income from the property (properties) for the period. |
| Expenses |
This is the sum of the expenses, displayed as a negative figure. Shows the total entered as expenses on the Expenses/adjustments tab. Note: Only appears when Claim property allowance is unticked. |
| Adjustments |
Shows the net adjustment, based on the amounts entered as adjustments on the Expenses / adjustments tab. Note: Only appears when Claim property allowance is unticked. |
| Balancing charges |
Shows the balancing charges entered on the Expenses / adjustments tab. This figure is amendable, to enable you to enter balancing charges without using the Adjustments section. Note: Only appears when Claim property allowance is ticked. |
| Property allowance |
Calculates the property allowance as the lower of £1,000 and the receipts from the property (Income from let property + Balancing charges). This figure is amendable, to allow you to claim a lower property allowance (for example, where part of the allowance is being used against another property). Note: Only appears when Claim property allowance is ticked. |
| Adjusted profit for the year | This is automatically calculated. |
| Loss for the year | This is automatically calculated. |
| A period of grace election is made | This election can be made where the conditions for treatment as a furnished holiday letting are met in some years but not others. |
| Claim property allowance | Select if you wish to claim property allowance rather than claiming expenses. |
Enter the details of any expenses or adjustments that have occurred during the accounting period displayed in the For drop-down list. A new accounting period is automatically created when you roll forward the tax year for the client. The new accounting period will be 12 months long and contiguous with the previous accounting period. If a cessation date has been entered, then the accounting period will end at that date.
The details that you enter here specifically relate to the accounting period, not to the currently selected tax year.
Note: Expenses are entered for the currently selected accounting period in the For box and are then apportioned to the tax year. Income from let property on the Main details page is entered for the tax year.
| Option | Description |
|---|---|
| Display |
Select Expenses or Adjustments from the drop-down list. This changes the options that are displayed in the Description column of the grid. There are six different Expense options and five different Adjustment options: Show the expense items
Show the adjustment items
Detailed information about these Expense / adjustment options is given in the HMRC UK property (SA105) notes. |
| For | Select an accounting period from the drop-down list. If there are no existing accounting periods when you open the Expenses / adjustments page, the Add New Periods window automatically opens. |
| Period Setup | Click Period Setup to add an accounting period or edit an existing one. Clicking Period Setup opens the Add New Periods window. |
| Description | The default description will mirror the expense or adjustment category. You can amend this and add additional rows if you wish. |
| Date | You can enter the date of each expense / adjustment. |
| Gross | Enter the gross amount of each expense / adjustment. |
| Tax Group | This is the name of the selected item's designated Tax Group, which indicates where the amounts will appear on the tax return. |
Note: For the 2020-21 tax year, HMRC validations restrict the amount of Annual Investment Allowance (AIA) on the UK property pages to £800,000. To enable online filing, if AIA is greater than £800,000, then enter £800,000 as Annual Investment Allowance and the remainder at Capital allowances. Enter a note in Additional information to identify the amount at other capital allowances as additional AIA.
How do I get here?
UK savings and investments > Land and property > Furnished holiday lettings
The tax year that you are entering details for is shown at the top of the data entry page. If you want to change the tax year, you should select a new date from the drop-down list at the top of the navigator.
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Auto calc - If you tick this option, the calculations will be automatically completed for you where possible. If you untick this box you will see a new tab appear called Summary.
Note: Not all data-entry forms have an Auto calc option.
- Estimated - Tick this box to indicate that the figures you've used are estimated. This will then show on the item in the navigator, and at the higher level folder in the navigator by showing a small e.
- Complete - Tick this to indicate that the form is complete. A green tick will appear on the item in the navigator and at the higher level folder in the navigator.
If you want to close the page without saving any of your changes, you can click Cancel. If you were adding new details, then nothing will be saved. If you were editing an existing item then the page will close, reverting to your previously saved details.