§ Mr. Jessel
asked the Chancellor of the Exchequer in what circumstances houseboats are treated as homes for tax purposes.
§ Mr. Robert Sheldon:
A houseboat is treated for tax relief for interest paid on home loans in the same way as other property if it has been designed or adapted for use as a place of permanent habitation. It is not normally necessary to consider whether it would also qualify as a private residence for capital gains tax purposes since wasting assets which are tangible movable property are in any case exempt. Except when they are let out as holiday accommodation, houseboats, like new housing, are zero rated for VAT purposes.