Fixtures in buildings
According to HMRC, ‘… a fixture is an asset that is installed or otherwise fixed in or to a building or land so as to become part of that building or land in law’ (for example, a boiler).
This is as opposed to a chattel, which is, ‘…an asset, which is tangible and moveable’ (such as furniture). For example, a bath may be a fixture, but a fridge a chattel.
HMRC suggest that, ‘… a chattel may become a fixture if it is fixed to a building or land. For example, before it is installed in a building as part of a central heating system, a central heating radiator is a chattel. Once installed, it becomes a fixture.’
This can be particularly important in the sale of property or in leasehold agreements, where the distinction between fixtures and chattels can determine ownership.
There are two key tests for identifying whether something is a fixture or a chattel:
- The degree of physical affixation. This is not a conclusive test, but generally, the greater the degree of affixation (i.e. the damage that would be caused by removal), the more likely it is that an object is a fixture. The easier it is to remove, the more likely it is to be a chattel.
- More conclusively, if the object is intended to be permanent and effect a lasting improvement to the property, it is a fixture. However, if any attachment is intended to be temporary and no more than is necessary for the object to be used and enjoyed, then it is a chattel.
However, these tests are not always used as the basis for determining the right to remove an object. Leasehold agreements will generally distinguish between the landlord’s fixtures and tenants fixtures which they may remove at the end of the lease (as long as they make good any damage). Similarly, conveyancing reports for the sale of property may state that certain fixtures are not being sold as part of the land.
Disputes can arise in particular in relation to expensive items such as paintings that may to a greater or lesser extent be a part of the building in which they are housed. Where there is doubt, it may be advisable to seek legal advice, and ensure that the position is set out in writing before signing any agreement.
In addition, the distinction between fixtures and chattels is important when calculating stamp duty land tax. Fixtures form part of the taxable value of the purchase, whereas chattels do not. The inclusion of fixtures can move the saleable price for tax purposes to the next stamp duty threshold, resulting in a much larger tax liability for the purchaser than had been expected. (Ref. HMRC, SDLTM04010 - Scope: How much is chargeable: Fixtures and fittings.)
HMRC suggest that:
The following items are, however, confirmed as being assets that will normally be regarded as chattels:
- Carpets (fitted or otherwise).
- Curtains and blinds.
- Free standing furniture.
- Kitchen white goods.
- Electric and gas fires (provided that they can be removed by disconnection from the power supply without causing damage to the property).
- Light shades and fittings (unless recessed).
On the other hand, the following items will not normally be regarded as chattels:
- Fitted kitchen units, cupboards and sinks.
- Aga and wall-mounted ovens.
- Fitted bathroom sanitary ware.
- Central heating systems.
- Intruder alarm systems.
Externally, any plants, shrubs or trees growing in the soil which forms part of the land, are not to be regarded as chattels.
A deduction would, however, be appropriate for amounts properly apportioned to any plants growing in pots or containers.
[edit] Related articles on Designing Buildings
- Automated blinds.
- Bath.
- Chattel.
- Consumer electronics.
- Cupboards.
- Equipment.
- Fittings.
- Fixing and fastener.
- Furnishings.
- Furniture, fixtures and equipment.
- Room data sheet.
- Sanitaryware.
- Specification.
[edit] External references
Featured articles and news
CIAT responds to the updated National Planning Policy Framework
With key changes in the revised NPPF outlined.
Councils and communities highlighted for delivery of common-sense housing in planning overhaul
As government follows up with mandatory housing targets.
CIOB photographic competition final images revealed
Art of Building produces stunning images for another year.
HSE prosecutes company for putting workers at risk
Roofing company fined and its director sentenced.
Strategic restructure to transform industry competence
EBSSA becomes part of a new industry competence structure.
Major overhaul of planning committees proposed by government
Planning decisions set to be fast-tracked to tackle the housing crisis.
Industry Competence Steering Group restructure
ICSG transitions to the Industry Competence Committee (ICC) under the Building Safety Regulator (BSR).
Principal Contractor Competency Certification Scheme
CIOB PCCCS competence framework for Principal Contractors.
The CIAT Principal Designer register
Issues explained via a series of FAQs.
Conservation in the age of the fourth (digital) industrial revolution.
Shaping the future of heritage
Embracing the evolution of economic thinking.
Ministers to unleash biggest building boom in half a century
50 major infrastructure projects, 5 billion for housing and 1.5 million homes.
RIBA Principal Designer Practice Note published
With key descriptions, best practice examples and FAQs, with supporting template resources.
Electrical businesses brace for project delays in 2025
BEB survey reveals over half worried about impact of delays.
Accelerating the remediation of buildings with unsafe cladding in England
The government publishes its Remediation Acceleration Plan.
Airtightness in raised access plenum floors
New testing guidance from BSRIA out now.