Exhaustive list of factors for Property Rental

005404

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Would any of you ladies and Gentleman have a template of all considerations to consider before making a tax return for 2016 on rental income.(1st Time) ie can property tax be offset against tax bill? Much thanks in advance.
 
Depending on your individual circumstances, it may be in your best interest to engage an accountant to compile your tax return.

To address your specific question, property tax is in fact a levy, and as such is not a deductible expense. Your personal time, work on the rental property or travel time to/from the property is not a deductible expense.

Costs incurred in advertising, PRTB registration, Legal expenses, management fees, management agent costs (if you use one) typically qualify as a deductible expense.

Replacement furnishings and fittings e.g. beds/mattresses/carpets/kitchen utensils etc., re-painting are deductible provided they are replacement items and the property is currently or about to be let.

Costs associated with capital expense (works associated with improving the property such as upgrading windows / attic conversions etc) are capitalised at 12.5% over 8 years so that portion of the capital expense is allowable annually on a reducing line basis.

If the property is mortgaged, an apportionment of the annual interest paid is an allowable expense. I understand this to be 80% for 2016 (but stand to be corrected on the specific percentage applicable in 2016). Life Assurance and Buildings Insurance premiums are also allowable.
 
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