Remediation tax issues

Our Experts Answer:

Sorry to hear you are dealing with this: It’s very difficult. I believe there is a subtle but important difference between the property being rendered un rent-able as opposed to it being unavailable for rent. A property that is made unavailable is one where the taxpayer has opted not to seek income from it. For example: if they have decided to let a family member live in it rent free.

In your circumstances, I am sure you would have loved to have rented it but the remediation rendered this impossible. I believe in your circumstances the property is still available for rent but simply can't be rented. I believe this should enable the revenue account holding costs to remain deductible during the remediation period where the property will be re-rented as soon as it physically can be.