Hi Folks,
Was wondering if any of the Tax guys out there can provide any insight into a couple of tricky tax questions I have.
1. Marketing costs for sale. I know these are normally capital in nature and included in the cost base for CGT calc. However, in this case we failed to sell and we will keep the property. Given these costs are sunk and we will never get a return from the spend, are these costs now deductible in full?
2. Architect and town planner costs to obtain planning permission for a rear extension to the property. We won't be proceeding with this redevelopment now. Are these fees deductible now, or perhaps when the permit expires? again there will be no benefit obtained from these sunk costs.
If it matters, the property was tenanted throughout.
Happy to get in touch with a recommended tax accountant if someone can recommend one.
Cheers
Justin
Was wondering if any of the Tax guys out there can provide any insight into a couple of tricky tax questions I have.
1. Marketing costs for sale. I know these are normally capital in nature and included in the cost base for CGT calc. However, in this case we failed to sell and we will keep the property. Given these costs are sunk and we will never get a return from the spend, are these costs now deductible in full?
2. Architect and town planner costs to obtain planning permission for a rear extension to the property. We won't be proceeding with this redevelopment now. Are these fees deductible now, or perhaps when the permit expires? again there will be no benefit obtained from these sunk costs.
If it matters, the property was tenanted throughout.
Happy to get in touch with a recommended tax accountant if someone can recommend one.
Cheers
Justin