Letting property, the PRTB & BER Cert. Is BER cert compulsory / tax deductable?.

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RMCF

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As someone close to leasing a property, I was just reading through the PRTB website re: registration, and I noticed it said that a BER certificate was required.
https://www.prtb.ie/faq.aspx#Q20


My tenant has not asked for one, and I was wondering if the PRTB will force me to get one once I'm registered?

If so, I assume this will be tax deductible?
 
No, they don't force you.
I would ignore it, your PRTB application will go through without it. Another useless regulation.
 
Who Needs BER Certificates ?
From January 1st 2009 anybody Selling or letting property is required by law to have a BER cert and there is no obligation to make any recommended improvements from the advisory report. Exemptions apply to listed buildings of outstanding architectural or historical importance

When is a building energy rating cert legally required ?
A BER cert is required by law, if planning permission was applied after the following dates:
1st January 2007. BER cert is required for new dwellings for which planning permission was applied for on or after this date, whether being constructed, offered for sale or for rent. Transitional BER exemptions will apply to new dwellings for which planning permission is applied on or before 31 December 2006, which is substantially completed by 30 June 2008.
1st July 2008. BER cert is required for new buildings, other than dwellings, for which planning permission was applied for on or after this date. 1st January 2009 BER cert is required for anybody Selling or letting property is required by law to have a BER cert.

What are the legal implications for non-compliance ?
There is a maximum fine of up to €5,000 or a term of imprisonment not exceeding 3 months, or both, for not getting a BER when required, for not complying with authorised officers to enter, inspect buildings etc.

Why should I get a BER Cert and what are the benefits ?
1. Add value to your home and make it more sought-after when selling or renting.
2. Improve and lower your energy heating costs - savings on energy and fuel bills.
3. Lower CO2 emissions.
 
If you're that worried get one , though i tend to agree with joeroberts.

the cost should be tax deductible -as is PRTB, and in my opinion the NPPR fee (though this last point is disputed).

Google BER certs/energy efficiency certs and you'll see websites offering apt BERs from 100 euros - which seems suspiciously low but even at twice that amount it may be worth it to avoid your anxiety.
 
I don't have BER certs and I've never been asked for them. A pointless piece of paper that is just a money making racket.

I did ask the PRTB what business it was of theirs to be asking on their website if people have one or not. You just tick the box on the website to say you don't have one when you are registering your tenancy.
 
I confess that the last post made me realise the obvious fact that on new tenancies (since BER rules came in) registered with PRTB it's possible that PRTB will inform those authorities responsible for enforcing BER regulations.

Certainly there is cross-reference between PRTB and Revenue as there is with NPPR and Revenue. I agree it's a pointless piece of paper and a money making racket. But I now wonder whether when registering a new tenancy with PRTB it may be worth getting that damn BER.
I can imagine some sort of cross-reference crack-down in order to grab more money from us.
 
While I'm not against it the Ber. I don't see how it can access the Ber rating of a house when they don't look in the walls or under the floor at the insulation there. Likewise some modern houses are over ventilated, and theres drafts in the wall spaces etc. I don't think they check that either. Its an indication, but imperfect.

Theres very little specifics in the requirments for heating a rented house. Without that you could leave a bar heater in every room and meet the regulations.

I've yet to hear of someone fined for lack of a Ber Cert. But if it only costs €100 for one, it might save some hassle later on. Does anyone check the Ber Certs are correct after they are done?
 
Hi,
I understand the requirement is to have a BER for a rentasl property from Jan 2009 onwards.

Does this apply even if your tenants have been in place prior to 2009 ? or only when you are looking for new tenants ?

-pm
 
According to the seai website a BER cert is valid for 10 years so it could be worth getting anyway. But I do agree, it does seem to be a bit of a raquet
 
barry251 said:
Who Needs BER Certificates ?
From January 1st 2009 anybody Selling or letting property is required by law to have a BER cert and there is no obligation to make any recommended improvements from the advisory report.
Click to expand...

Regardless of whether you like it or not, or whether you percieve it to be a racket or not, it would appear to be the law of the land.
 
Hi, maybe someone can help with this. I'm a landlord:

Grant for BER seems to be 80 Euro from what I see on SEAI website.
Quotes I've received for the assessment so far range from 140 - 200 Euro.

So should I apply for the cash grant, and then claim the remainder as an expense against my rental income?

Thanks.
/M.

Edit: actually it looks more complicated. Apparently you can only apply for the BER cash grant once per house. And yet, if you apply for a HES Grant for, say, attic insulation or solar heating, a BER assessment AFTER the work is done is mandatory. So the most economical approach for the landlord then would seem to be one of:
i) Get an assessment for as close to 80 Euro as possible and apply for the cash grant
Then, if you do subsequently apply for a HES Grant for improvement work, then claim the 2nd BER assessment cost as an allowable expense (dodgy?)
ii) Claim all of the first assessment as an allowable expense, and if you do subsequently apply for a HES Grant for improvement work, get the 80 Euro cash
grant then (probably more correct)

If it's all above board, then option i) seems the better approach.

Anyone?
 

Cash Grants available

Attic Insulation €200
Wall Insulation - Cavity €320
Wall Insulation - External €4,000
Wall Insulation - Internal Dry Lining €2,000
Heating SystemHigh Efficiency Oil / Gas Boiler with Controls upgrade. €560
Heating Controls Upgrade only €400
Solar Heating €800
Building Energy Rating (BER) €80**

*Cash Grants are set value unless expenditure is below the set value, in which case the actual expenditure will be reimbursed.
**A Building Energy Rating (BER) is an integral part of all grant applications under the HES scheme, whereby homeowners must undertake a BER on their home after grant aided works have been completed. A homeowner is entitled to BER funding of €80 once per home. This funding will be applied to your grant application automatically provided you have never applied previously for BER funding. You will be informed during the online grant application process if BER funding is available for your home or as part of your Letter of Grant Offer if you have applied through the post.
Please note the minimum grant amount for the first application must be €400. A BER grant, where applicable, does not count towards the €400 minimum.
In the instance where a Contractor is completing works within his own home then only the cost of materials will be deemed qualifying expenditure.
Grants are claimed after the measures are completed and the contractor has been paid by or entered a financing agreement with the homeowner.




Looks like you can't just apply for standlone BER grant.

So in order to get it, you'd have to get eg attic+cavity+ber
or one of the others +ber
 
That's not how I read it L0llip0p.

You can't get the HES Grant without a subsequent BER assessment, but you can get a BER assessment on its own, and a cash grant for same (once), without applying for a HES Grant.

So I'm just wondering, if leaving one's options open for a future HES Grant application, should one get an initial BER assessment via the grant or pay for it and claim it all back as an allowable expense?

It seems to me that it should only be an allowable expense if you're getting it to comply with the law.

If you're getting a second assessment after work done, then that's probably not an allowable expense. So it seems to make sense to save the grant for a possible second assessment.
 
Simple answer, yes BER is deductible.

Interesting how you read it differently. From all my web searching I was sure that the €80 grant for BER was only available where you apply for the HES grant. If you check any of the insulator providers websites, they all seem to say the same thing. (i.e. €80 available under HES scheme). But I could be wrong.

example http://www.bercertificate.ie/faq.asp?id=11#q10 see question regarding grant availability. "SEAI has funding available to anyone looking to upgrade there dwelling."

The idea is that you spend some bob on upgrading the efficiency of house (attic+cavity) and with that you get the BER discounted because it is mandatory anyway.

I'm getting attic+cavity+ber done on my let property. €1050 for 3bed semi with €200+€320+€80= €600 grant =>cost of €450. Hopefully its worth it.

I'd certainly expect that this €450 is tax deductible too.
 
L0llip0p said:
I'd certainly expect that this €450 is tax deductible too.
Click to expand...

I would assume it is deductible against the CGT when you come to sell the house as it is an improvement to the house and therefore not deductible against rental income
 
Is it not a capital allowance?

I would have justified as necessary when the house is freezing throughout the winter for tenants.

It would be no different to replacing a boiler system that had packed up resulting in a uninhabitable house for winter. Its my responsibility to ensure the house has adequate heating for tenants.
 
L0llip0p said:
It would be no different to replacing a boiler system that had packed up resulting in a uninhabitable house for winter. Its my responsibility to ensure the house has adequate heating for tenants.
Click to expand...

From IT70:
What expenses cannot be claimed for?

Capital expenditure incurred on additions, alterations or improvements to the premises unless allowable under an Incentive scheme


You are not talking about replacing a broken boiler, you are talking about improving the fabric of the building.

It is possible that there is an incentive scheme for this type of improvement (I think it would be a good idea if there was) but I couldn't find one on Revenue's website.

Sybil
 
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