BTL am I claiming everything?

helliecopter_2

I'm a total novice renting out house for last 2 years and have filed tax returns for me and hubby. Thanks to another member i now know that I claim mileage on my trips back to the house to check in order. This has got me thinking am I missing anything else and hoped you kind people might part with a bit of advice.

The house in unfurnished but with white goods so I dont think I can get help for wear & tear. However, its never been decorated as was a new build at purchase.

Currently I include the interest charges on my mortgage, repairs, letting fees and admin costs, house insurance and gas safety certs.

Is there anything else apart from the above and the mileage?

Also next year due to a change in my circumstances I won't use the whole of my personal allowance so can I transfer the balance to my hubby?

I've tried calling the tax office and find that although helpful they refer you back to the help sheets and I'm just not sure! The last thing I want to do is get on the wrong side of the tax man - so any advice would be greatfully received.

Thanks in advance Helliecopter xxxx

fengirl_2

Whoever told you that you could claim travel to and from the property is incorrect. HMRC's view is that the income commences at the door of the property, not at your home, therefore the cost of getting to the property is not an allowable deduction.
I can't see anything missing from your list of what you are claiming. I would always open a separate bank account for letting or business income and make sure all the income and expenditure goes through that - in that way you won't miss anything.
You cannot transfer your unused personal allowances to anyone else.

silvercar

If the house is owned in joint names you could each claim half the expenses.

Fengirl, can you point to guidelines on not claiming travel to the property, I thought if the purpose of your journey was solely to attend the property it would be an allowable expense - the gurus on landlordzone certainly seem to think so.

helliecopter_2

Thanks for your replies.... I will have to investigate futher. With regards to the expenses we split them 75% to 25% because I had a larger deposit and the deeds are drawn up this way. Can you give me a link to landlordzone?

silvercar

http://www.landlordzone.co.uk/forums/

helliecopter_2

Thanks Silvercar, looks a great site. :T Just need a spare day to sit and read it all!

fengirl_2

Sorry, its been a while since I examined accounts!
Yes, if the only reason for travel to the property is to deal with the letting, the travel is allowable. However, HMRC are very aware of the possibility of dual purpose travel:
'You may need to look carefully at the facts where there is a claim for travelling expenses between home and a let property some distance away. For example, a taxpayer letting his house in Manchester while he works away from home in Brighton may have travelled to Manchester to visit friends and relatives as well as to see to the property. In that case, there would be duality of purposes and the expense would fall to be disallowed on 'wholly and exclusively' grounds. An Inspector should deal with any case where the admissibility of travelling expenses is in doubt.'