Rental tax relief

Degus

I am in the process of buying another house. My current property, in which I live, is going to be rented out, but I need to do some work for rental preparation. For example, I advertised it for rent on open rent 1st May, so I started some work on 2nd May. Can I claim tax relief for rental preparation?

sheramber

Depends on what work you did whether it can be claimed against rental or against potential Capital Gains Tax when the property is disposed of.

theartfullodger

Tax relief - which tax? Iht, CGT, income.... Etc. think there are more than 10 taxes a landymay be liable.

Done any training in being a landlord or education? If not or little humbly suggest you do. I started 2000, thought I knew it all, oh my stupidity, oh the hubris.

Complicated, expensive, legally tricky, long drawn out, I was at risk. Please don't make my mistakes.

Grumpy_chap

https://forums.moneysavingexpert.com/discussion/6658170/rental-tax-relief

Usually not.

What is the work that is being done?

Nasquerns

If the place was already being prepared to rent out, those costs are often treated as allowable expenses, but it kinda depends on whether it’s repairs vs improvements. I’d keep receipts for everything just in case.

poseidon1

https://forums.moneysavingexpert.com/discussion/6658170/rental-tax-relief

Article below gives you some idea of allowable pre trading expenses for a lettings business, but it is by no means exhaustive, and is complicated by the property having originally been your residence -

https://www.accaglobal.com/gb/en/technical-activities/technical-resources-search/2018/april/when-are-pre-letting-expenses-allowed.html#:~:text=is%20incurred%20wholly%20and%20exclusively,v%20CIR%2012%20TC%2062.

As a new comer to the potentially perilous world of residential lettings, you would do well to avail yourself of membership of NRLA to access their extensive resources, and hopefully avoid the rookie errors that beset newbies in this arena -

https://www.nrla.org.uk/join?http://utm_source=google&utm_medium=cpc&utm_campaign=Brand&utm_term=national%20residential%20landlords%20association&mt=e&utm_id=22568962932&gad_source=1&gad_campaignid=22952192130&gbraid=0AAAAAD_RKJu2Rn-5YHp-pL_az0gZR927A&gclid=Cj0KCQiA8KTNBhD_ARIsAOvp6DK3PyP-kn9PizbRVx9eyN8INA_Otmtw9AEM_AkDweHRPpzsLOMUbtYaAhajEALw_wcB