Allowable expenses income tax - Property portfolio

marcusjames

My father passed away last year and I have inherited his home and small buy to let property. I am currently trying to sell his home (to clear the IHT liability) but have a question about allowable expenses.

Can I offset bills on his main residence against income on his buy to let? Common sense would lead me to believe I can only do that if I have marketed his home for rent etc.

Thanks for any input.

BoGoF

No.............

tebthereb

Yes...

Maybe...

https://www.gov.uk/hmrc-internal-manuals/property-income-manual/pim2100

Also possible to claim relief for some or all mortgage interest against BTL profits, where mortgage secured against main residence, which might be loosely termed a “bill” for the main residence.

sheramber

What bills are you referring to?

00ec25

tebthereb wrote: »

Yes...

Maybe...

https://www.gov.uk/hmrc-internal-manuals/property-income-manual/pim2100

Also possible to claim relief for some or all mortgage interest against BTL profits, where mortgage secured against main residence, which might be loosely termed a “bill” for the main residence.

the circumstances where a LL could claim under the rules you refer to are so niche that there is NO WAY they apply in OP's case

your reference to mortgage interest is only going to cause immense confusion because you have no idea how the BTL was funded and therefore if there is available interest.

keep it simple and establish the facts before offering esoteric "solutions"