The Income Tax (Furnished Accommodation) (Basic Amount) Order 1996

Statutory Instruments

1996 No. 2953

INCOME TAX

The Income Tax (Furnished Accommodation) (Basic Amount) Order 1996

Made

26th November 1996

Laid before the House of Commons

26th November 1996

Coming into force

17th December 1996

The Treasury, in exercise of the powers conferred on them by paragraph 6(a) of Schedule 10 to the Finance (No. 2) Act 1992(1), hereby make the following Order:

1.  This Order may be cited as the Income Tax (Furnished Accommodation) (Basic Amount) Order 1996 and shall come into force on 17th December 1996.

2.  The sum specified for the year of assessment 1997 – 98 and for each subsequent year of assessment pursuant to paragraph 6 of Schedule 10 to the Finance (No. 2) Act 1992 is £4,250.

Bowen Wells

Michael Bates

Two of the Lords Commissioners of Her Majesty’s Treasury

26th November 1996

Explanatory Note

(This note is not part of the Order)

By virtue of Schedule 10 to the Finance (No. 2) Act 1992 (“Schedule 10”), gross annual rents from letting furnished accommodation in an individual’s only or main residence are exempt from tax if they do not exceed the basic amount for a year of assessment.

Paragraph 6 of Schedule 10 provides that the basic amount for a year of assessment is such sum as the Treasury may specify by order or, if no sum is specified for a year, £3,250.

This Order specifies the sum of £4,250 for the year of assessment 1997 – 98 and each subsequent year of assessment.

(1)

1992 c. 48.