Rental Income Return

[Mrs Dara]

Not sure if this should be here or in taxation.

I just starting my second income tax return for a rental property. Was quite chuffed with myself last October when I submitted the return and was only about €20 out. Anyway this year's return is fine, straight forward enough, but am already thinking about next year.

We have done a good bit of work in the house over the past three weeks (no tenant at the moment), such as putting in new wooden floor downstairs, tiling bathroom, fitting a pump to the shower, repairing blinds on the patio door etc. All in all, has come to about €4,000 including labour. Can this amount be put down as an expense when doing the return.

 

[delgirl]

Hi Mrs Dara

AFAIK - the repairs, such as to the patio blind, and any maintenance can be deducted in full during a tenancy or between tenancies, but not before the first and after the last letting.

Inventory items, (furniture and fittings) this would in my opinion include the wooden floor downstairs provided it's not permanently fixed, can be included on the property inventory and deducted as wear & tear at 12.5% per annum over an 8 year period.

Permanently fixed items (fixtures), such as the tiles in the bathroom, are I believe a Capital Expense and can only be deducted from any Capital Gains which may arise when you sell the property.

Hope this helps.
(P.S. I'm a landlord not a tax expert - you might want to get professional advice)

 

[Mrs Dara]

Thanks delgirl