Enhancement expenditure for CGT

[AwtkGO]

I'm thinking about making some upgrades to my primary residence. I purchased this home a few years ago and plan to rent it out eventually, with the intention of selling it later on.


Would these upgrades be considered enhancement expenditures for Capital Gains Tax (CGT) purposes when I sell the home?

1. Installing solar panels and a battery
2. Replacing the front door
3. Replacing the windows
4. Adding laminate flooring to the stairs and landing

Thanks!

 

[T McGibney]

The golden test is: has the expenditure increased, or was it intended to increase, the value of the property in the medium to long term?

 

[dublin67]

the main criteria arethat the expenditure must be capital in nature (tax meaning and not common sense meaning - simple explanation would be that routine painting/maintenance would not be allowable), the expenditure must be reflected in the premises at date of disposal (if any of the above items are removed before sale then it would not be allowable), the expenditure must be directly connected to the asset & not be allowable under any other tax head (e.g. income or corporation tax).