Deed of Trust - is it an allowable expense?

ianpalmer2007

Hi - setting up a deed of trust in favour of my wife so as to utilise her unused allowances.

Can I put this down as professional fees / an allowable expense on my return?

Also just replaced the garage door so the tenant could have the use of the garage. It is a "like for like" replacement so my understanding is I can now class that as an "expense" on my return?

Stuart788

I know the garage door is an allowable expense but I'd be surprised if the deed of trust would be; however if you just put it down as an account/legal fee they might not look into it.

MyOnlyPost

My understanding (and I may be wrong) is that a deed of trust would be a capital expense so can't be claimed against income tax. It can be claimed against CGT when you come to sell the property though

booksurr

although the immediate use will be to allow the rental income split to be altered, a DoT is altering the beneficial interest in the capital asset and is therefore a capital cost not a revenue cost

the legal fees are claimable against your eventual CGT, not your income tax