Pre-Letting Expenditure...

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    Pre-Letting Expenditure...

    Hi, I'm looking for a bit of advice/opinions, this is the scenario of my first BTL

    August - Changed house over to a BTL mortgage, moved out & started repairing a few bits & bobs ready to let
    September - During painting/repairing Boiler packs up & is condemned.... new boiler installed
    October - Tenancy agreement signed & tenant moves in.

    Am I able to claim the expense of the new Boiler as a pre-letting revenue expenditure as opposed to capital ??? the boiler is no better than the old one, it'll be just put down as a repair...

    Any advice/experiences would be appreciated


    I would probably chance it on the basis that the mortgage was changed to BTL and you moved out prior to the replacement of the boiler. A cynical tax man may want to see evidence of that exact sequence of events but sadly they don't have the time to even look at your case let alone be cynical about it.


      You should be ok. You’ve got revenue to claim it against from the month after, so don’t see an issue.


        Landlordzone added this article today
        see the
        The “Grey” areas between Capital and Expenses


          I would claim the boiler replacement expense against rental income because the letting business would stop if there is no hot water for the tenant..


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