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Garage leasehold cost

Posted Tue, 23 May 2023 18:20:53 GMT by
Hi, I've bought a garage leasehold and I will be using the garage to store the items that my business sells. How can I claim the cost of the lease - as a one off expense or a depreciating capital item etc? Thanks
HMRC Admin 19
Posted Thu, 25 May 2023 12:08:02 GMT by HMRC Admin 19
Hi,

You can see guidance here:

HS292 Capital Gains Tax, land and leases (2023)

A short lease is less than 50 years and a long lease is over 50 years. A short lease can be claimed as an expense, but the long lease is claimed as a capital expense when disposing of the asset.

Thank you.

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