Capital or revenue

paulr Registered Posts: 48 ? ? ?
Good evening,
I have a new client that intends renting out a furnished house;
he has had Solar panels atteched to the house and is asking whether
they are a Capital or Revenue cost;
any suggestions on how to treat the cost from a tax perspective,


  • Tiger
    Tiger Registered Posts: 63 ? ? ?
    My opinion would be capital as they now form part of the fabric of the building... Its not a repair or a replacement but an improvement...

    Just my opinion others may (& usually do!) disagree...
  • uknitty
    uknitty Registered Posts: 591
    My thoughts were also Capital because they are part of a new heating system rather than enhancing an existing one.
  • clegganator
    clegganator Registered Posts: 184 ? ? ?
    I would of said 90% of them are capital because some are more portable than others. I have relatives in France who brought one and they could very easily take it with them when they go. However some of them are integral features and, without making a hash of it, you couldn't detach them from the system.
  • imeldabye
    imeldabye Registered Posts: 147 ? ? ?
    another vote for capital
  • CPenney
    CPenney Registered Posts: 32 Regular contributor ⭐ ? ⭐
    I would also say capital
  • PGM
    PGM Registered Posts: 1,954
    Capital, but I'd check if there's any special first year allowance for that type of item.
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