½Ū×ÓŹÓʵ

Holiday homes

Produced by Tolley in association with
Employment Tax
Guidance

Holiday homes

Produced by Tolley in association with
Employment Tax
Guidance
imgtext

Introduction

This guidance note covers both UK holiday homes and those abroad. The benefit of accommodation generally and the calculation of the taxable value are outlined in the Living accommodation guidance note.

For the provision of holidays please refer to the Holidays ā€• provided or paid for guidance note.

Meaning of provided in relation to holiday homes

Unlike with day-to-day accommodation, the meaning of ā€˜providedā€™ in ITEPA 2003, s 102 requires little consideration because it is clear for how long the accommodation is provided to the employee; the term requires more consideration in relation to holiday homes. HMRC is likely to pay particular interest to small or family-owned businesses which are acquiring properties for the use of a very small number of individuals. There are two key questions:

  1. ā€¢

    who can use the accommodation?

  2. ā€¢

    why does the employer own or rent the accommodation?

The reason this becomes more relevant is that HMRC may seek to tax an individual on the basis of when the property is available for use.

Employer buys flat and employee lives

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, and tax research, register for a free trial of Tolley+ā„¢
Philip Rutherford
Philip Rutherford

Senior Tax Director at Molson Coors Brewing Company


Phil is the Senior Tax Director for Molson Coors' European operations. He has responsibility for both direct and indirect taxes across both EU and non-EU states. Prior to this, Phil was responsible for Molson Coors UK tax affairs covering all major taxes and duties. Ā  Phil trained at KPMG LLP, where he worked for 8 years, specialising in tax investigations across both direct and indirect tax.

Powered by

Popular Articles

Substantial shareholding exemption ā€• overview

Substantial shareholding exemption ā€• overviewThe substantial shareholdings exemption (SSE) provides a complete exemption from the liability to corporation tax on the gains generated from qualifying disposals of shares and interests in shares by qualifying companies. No claim is required. Provided

14 Jul 2020 13:44 | Produced by Tolley Read more Read more

BPR ā€• trading and investment businesses

BPR ā€• trading and investment businessesIntroductionThe basic qualification rules for business property relief (BPR) are illustrated in the Flowchart ā€• trading or investment business for BPR purposes.For an overview of BPR, see the BPR overview guidance note.Relevant business propertyThe main

14 Jul 2020 15:36 | Produced by Tolley Read more Read more

Enterprise management incentive schemes

Enterprise management incentive schemesWhat is an enterprise management incentive (EMI) scheme?The enterprise management incentive (EMI) scheme is a tax-advantaged share option employee incentive scheme aimed at small entrepreneurial companies that meet certain conditions. It is designed to assist

14 Jul 2020 11:36 | Produced by Tolley Read more Read more