Rental Property - Wear & Tear Allowance

ibz75

I'm an 'accidental landlord' trying to get my files ready for this years tax returns. I will be claiming the 10% wear & tear allowance which covers the cost of replacing existing furniture but what about providing additional/new furniture?

For example, I had new tenants who required an extra bed for the spare room. So is this cost covered by the W&T allowance or is it an additional expenditure?

Thanks.

somethingcorporate

Covered by W&T.

It's either / or - you take the 10% allowance and replace out of that or you don't and claim for real expenditure.

ibz75

I want to continue claiming the W&T allowance so it is consistent with last years return. I have replaced existing furniture and the actual cost has already exceeded the allowance. I was just wondering if having to buy any additional furniture is another expense or still part of the W&T allowance.

ognum

ibz75 wrote: »

I want to continue claiming the W&T allowance so it is consistent with last years return. I have replaced existing furniture and the actual cost has already exceeded the allowance. I was just wondering if having to buy any additional furniture is another expense or still part of the W&T allowance.

As said above, if you claim W and T allowance then that's it, no more. Some years you win some you don't!

anselld

ibz75 wrote: »

I want to continue claiming the W&T allowance so it is consistent with last years return. I have replaced existing furniture and the actual cost has already exceeded the allowance. I was just wondering if having to buy any additional furniture is another expense or still part of the W&T allowance.

It is not a question of "wanting" to continue. You are obliged to continue once you have started claiming W&T.

If you are buying additional furniture because of damages you would expect also to fund this by retain deposits.