Property Expenses

Property Expenses

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Hi I rent rooms in my house.

I have elected to claim the 10% wear and tear, rather than 'renewals' claim for expenditure.

Renewals refers to an item that is removable  - ie a washing machine.

I have just had to buy a part to repair the heating and hot water combi boiler, which is bolted to the wall - is this a removable item or not ? - I would content its part of the house - like the walls (which you can claim to repaint - as the walls are not removable), can anyone clarify if this part can be claimed as an expense.

I presume you dont need to apportion this claim, as I am the live in Landlord.

Thanks

Replies (8)

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By duncanedwards
17th Apr 2015 20:34

Have a look at HMRC guidance or speak to an accountant.

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By le-rank
17th Apr 2015 20:52

Edwards, Duncan ...

I have read the guidance and spoken to my accountant - and I still dont have an answer, hence I am asking here ...

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By duncanedwards
17th Apr 2015 20:54

What did your accountant say?

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By le-rank
18th Apr 2015 17:00

She could not give me an answer, hence I have come here to hopefully get some friendly help. Thanks
 

 

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Replying to newmoon:
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By duncanedwards
18th Apr 2015 18:54

Frightening

le-rank wrote:

She could not give me an answer, hence I have come here to hopefully get some friendly help. Thanks

 

That is frightening, to be honest. Is this person professionally qualified?  The answer is in black and white in HMRC guidance - even if she didn't have the wit to google it, which brings up a mere 1.5 million hits - the top few of which seem directly relevant.  I'd change your accountant.

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By King_Maker
18th Apr 2015 17:43

Are the individuals tenants or lodgers?

If the property is mortgaged, is the lender aware of the situation?

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Replying to lionofludesch:
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By duncanedwards
18th Apr 2015 18:58

Does it

King_Maker wrote:

Are the individuals tenants or lodgers?

If the property is mortgaged, is the lender aware of the situation?

 

Does it count as a house in multiple occupation (HMO)?  That requires a council licence, I understand.

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By le-rank
20th Apr 2015 12:14

No it does not require a licence, as the council stands at the moment.

Yes she is professionally Qualified and is a member of ACCA , and has a current practicing certificate.

The lender is aware that the house has lodgers,  they do not have AST's but a 'licence to occupy'.

I was confused as to what was 'removable' in HMRC's eyes.

I found this answer in this helpful thread:
https://www.accountingweb.co.uk/anyanswers/question/10-wear-tear-allowan...

"Renewals & 10% wear and tear allowance

However, in addition to the 10% allowance, a taxpayer can also deduct the net cost of renewing or repairing fixtures that are an integral part of the buildings. The net cost means the cost of the replacement less any amount received for the old item. See below for renewals of fixtures in unfurnished property.

Fixtures integral to the building are those that are not normally removed by either tenant or owner if the property is vacated or sold. For example, baths, washbasins, toilets, central heating installations. Expenditure on renewing such items is normally a revenue repair to the building. It is due even though the 10% wear and tear allowance has been deducted."

 

 

 

 

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