Starting April 2025, UK Furnished Holiday Let (FHL) owners will face major tax reforms that could impact your profits. Now is the time to safeguard your earnings and capitalise on remaining tax reliefs. At Smart Business Tax, we’re here to help you navigate these changes and lock in your tax savings before it’s too late.
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Adam Meldrum has a track record of helping Furnished Holiday Let (FHL) owners like you maximize tax savings and protect their investments. With a proactive, client - focused approach, Adam is ready to help you achieve the best possible outcome before the tax changes hit.
Adam Meldrum
Capital Allowances & Business Rates Specialist
This is your chance to discuss your specific tax situation and lock in savings before the changes come into effect. Schedule a complimentary, no-obligation consultation with Adam to secure your tax benefits while you can.
Capital allowances let FHL owners claim tax relief on qualifying expenses like furnishings and fixtures. This tax benefit, however, ends in April 2025.
Capital Allowances offer FHL owners substantial tax relief by allowing claims on qualifying items like furniture, equipment, and fixtures within the property. Let’s look at an example:
Imagine an FHL property valued at £500,000, with £125,000 of this value attributed to qualifying fixtures and fittings (like furnishings, appliances, and other essential property elements eligible under capital allowances).
Qualifying Assets: If £125,000 of the property value qualifies, you could claim capital allowances on this amount.
Tax Relief Calculation: Assuming a higher-rate taxpayer (40%), the tax relief on the £125,000 would be £125,000x 40% = £50,000 in potential tax savings.
Total Tax Savings: By claiming capital allowances, you could reduce your tax liability by up to £50,000,depending on the specifics of the property and your tax rate.
This example illustrates why acting before the April 2025 changes is critical; capital allowances are a significant opportunity to reduce tax costs, but this benefit will end soon. Book a consultation with Adam to explore your specific savings potential and make the most of this relief while it's still available.
After April 2025, capital allowances will no longer be available for FHLs. Acting now ensures you capture these savings while they’re available.
Book a free consultation with Adam, who can assess your property, identify qualifying assets, and guide you through the claims process efficiently.
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