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  • Magpiethesecond
  • Joined: 27/04/2019 12:13:56
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Decorating before renting out new property

29/04/2019 06:37:21
My wife already has a rental business and she has just bought a new property to rent out. Is decorating the property before letting out the new property a capital or revenue expense

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Re:Decorating before renting out new property

29/04/2019 14:50:10
Hi Magpiethesecond,

Any qualifying pre-letting expenses are treated as incurred on the day the rental business commences, which is usually the day the property is first let.

After the first property has been let, any later expenditure leading up to the letting of the second and later properties is part of the rental business and can be deducted - provided it is incurred wholly and exclusively for the purpose of the business and isn’t capital expenditure.

You can find further information here:

PIM2505

Income Tax when you let property: work out your rental income

Thanks for your question.

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