Legal expenses allowable against rental income?

Is this a revenue or capital item?

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My client has received rental income from a property he purchased a few years ago.  In 2021/22 his wife became joint owner, from which time rental income will be shared equally between the couple.  Solicitor's fees were incurred in effecting the transfer/registering the the Land Registry etc.

Are these legal fees etc allowable against rental income received in 2021/22?  I'd have said not, but just wanted to check...

 

Thank you. 

Replies (3)

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By Paul Crowley
20th Apr 2022 17:29

https://www.accountingweb.co.uk/any-answers/transfer-of-property-to-spou...

This discuses the costs for CGT
Maybe those costs that wife incurred were in the nature of costs of aquisition

But for setting against rent income? I vote no

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By The Dullard
20th Apr 2022 20:00

No. What's it got to do with earning rental profits?

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By songb1rd
20th Apr 2022 20:31

Thank you both! Yes, just as I'd expected.

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