To qualify as a Furnished Holiday Let (FHL) the property has to be available to let for 210 days in the year and actually let for 105 days, due to Covid restrictions this has not been possible for the tax year ending 5th April 2021. If you let the property as an FHL in the previous year which met the availability and occupancy requirements you will be able to make a Period of Grace election for the tax year ending 5th April 2021.

For those of you who have purchased an FHL property during the pandemic or shortly before and have therefore have never meet the availability and occupancy requirements the current situation may mean having to record income as non-FHL which would have an effect on the treatment of any costs improving the property or household items.

The government have at the moment have not announced any concession, before completing your tax return you should make sure you are aware of your options.