Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

New queries, issue 4213

07 July 2009
Issue: 4213 / Categories: Forum & Feedback
Minimising future CGT on holiday cottage; shareholder’s loan to company; valuation of rights; main residence relief on room in parental home

One plot or two?

Our client is a self-employed chartered surveyor with his own business. He and his wife live in a cottage which they both own. They also own a barn which is right next door on an adjoining plot of land.

The buildings were purchased together but they had them registered separately with the Land Registry. The barn has been used for storage etc. but the clients wish to redevelop it for holiday lettings.

Can readers advise as to any ways in which potential future capital gains tax or VAT liabilities might be minimised? Is it a problem that the properties are registered separately?

Can or should they be brought together on one plot? The total ground area is less than half a hectare. Perhaps we should also mention that inheritance tax is a potential problem for the future.

Readers’ thoughts are welcomed.

Query...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

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.

back to top icon