| From Propertytaxplus.co.uk: Worries of holiday home owners who have bought overseas property with a company can finally relax as promised tax exemptions came in to force today.The enactment of Section 45 Finance Act 2008 inserts sections 100A and 100B into the Income Tax (Earnings and Pensions) Act 2003.These new sections allow UK residents who were advised to acquire a holiday home overseas through a company because of the laws of the country where the property is located.
As a result, they paid Income Tax before 2008-09 on the benefit of that living accommodation when they have not used the company other than to hold the property for their personal use and letting. Now, the new rules allow the property owners to claim exemption from the living accommodation tax charge outlined in the Income Tax (Earnings and Pensions) Act 2003 and to apply for a refund if they can show that they have paid such tax.Qualifying conditions for exemption,The new legislation provides for an exception from the living accommodation tax charge where living accommodation overseas is provided by a company for a director or other officer of the company or a member of director’s family or household where all of the following apply..... Full Article: Source
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