Property Income

charlie632

Hi everyone,

I have a query that relates to property income from a second home that is let for part of the year but does not qualify as a Furnished Holiday Let.

If, for example, the property is let for 10 weeks of the year to tenants, the owner stays in the property for 10 weeks and the remainder of the year it is empty, then in line with the ‘wholly and exclusively’ rule my questions are as follows:

1. Should allowable expenditure (e.g. council tax, heating etc..) be time apportioned based on occupancy?
2. If so, then should expenditure be apportioned as 10/52 - being the amount of time it was actually let or, 42/52 being the amount of time it was available to be let as the owner wasn’t there?

Many thanks in advance for any help you are able to give me.