First time landlords

realbeginner

I've bought a new build house to rent out and boost my retirement income.  Can I claim the cost of the floorcoverings as expenses on my income tax return?

FlorayG

You really need to learn a LOT about being a landlord and if this is something you already don't know the answer to please, please get some training before you let the property

Browntoa

Nice to see you did FULL research on having a rental property.

It's frightening the obvious lack of knowledge here

tacpot12

I'm not sure the previous comments are fair.

The property was purchased without floorcoverings and floorcoverings were needed for the property to be lettable, so the expenditure on floorcoverings is a capital expense. You need to add the cost of the floor coverings to the cost of the property for CGT. (TIP: Start keeping a record of all the purchases costs that will need to go into any future CGT calculation now and dd the cost of the floor coverings to your records. It is likely that when the property it sold, the floorcoverings will be included in the sale price.)

This is relatively unusual. It is usually understood that 'Improvements' must be substantial to be included as a capital expense, but HRMC's view is that an improvement is an improvement, and if so, it is a capital expense. 

Replacing the floorcoverings in future will be an income expense and deductable from rental income received.

This link might be useful: What are the allowable costs against rental income? - UK Landlord Tax

FlorayG

tacpot12 said:

I'm not sure the previous comments are fair.

The property was purchased without floorcoverings and floorcoverings were needed for the property to be lettable, so the expenditure on floorcoverings is a capital expense. 

This link might be useful: What are the allowable costs against rental income? - UK Landlord Tax

You know this is the case, do you? Also, any potential landlord should have at LEAST read the government rules. OP we're not 'getting at you', we're trying to save you a lot of grief in future. You really need to research before you engage a tenant

Grumpy_chap

I agree with @tacpot12
The property is new and requires flooring as part of the preparation for habitation (rental) so is a capital cost and cannot be set against income.
That is the first ever flooring.
When the flooring requires replacement in the future that is maintenance and not capital so will be set against income.
Costs to prepare for first rental can usually not be set against income.