Tax implications of renting property for part of year

Discussion in 'Property investment and tenants' rights' started by jackieO, Jun 19, 2017.

  1. jackieO

    jackieO Registered User

    This is probably a very basis question but if you rent out a property for only part of the year, I assume you can only deduct costs for that part of the year only? e.g. part of management fees, part of interest paid on mortgage? And pro rata for any capital expenditure?

  2. cremeegg

    cremeegg Frequent Poster

    The short answer to your question is yes.

    In fact the long answer is probably just yes as well.

    If you rent for 6 months then you can deduct 6 months management fees, 6 months interest at 75% and so on. You can calculate the capital allowances "wear and tear" in the regular way for the year and the claim 6 months worth.

    However if there are one off expenses such as repairs incurred during the letting period, you can probably claim them in their entirety as they are not time based.