labour repair cost offset against rental income?

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    labour repair cost offset against rental income?

    My tenants have recently broken a banister hinge against the wall so its put a big hole in the wall. so i now have to replaster / sand down and paint then put the hinge tot he banister back on.

    Also the thermostatic shower cartridge needs replacing as the shower head is leaking, which i have duefully ordered the parts, and as i'm fitting it myself.

    Question is would i be able to make this as a claimable expense as i am carrying out the repair work myself on the wall and labour cost to install a new cartridge.

    If im able to then i will charge the usualy profesional fees that a builder/plumber would. i.e get 1 or 2 quotes to show its market rate?.

    P.S I dont plan on charging the tenants for the wall damage as they seems to look after the property in all other cases.
    thanks
    Andy

    #2
    If you pay a plumber £50 per hour, he pays tax to HMRC on his £50 per hour whilst you get a tax deduction.

    So, if you were able to do this, then you would have to pay tax as well as getting a tax deduction. So no, you cannot charge for your time.

    Comment


      #3
      Telometer
      If that is the case then how am i able to charge a management fee as i look after my own property and perform regular inspections. again this is a fee which i can offset against rental income?
      I'm a newbie LL hence why i'm not clude up yet on all the expenses and offsets.

      Thanks

      Comment


        #4
        Who says you are?!!!!

        Comment


          #5
          You can't charge for your own time spent running your property lettings business. You can charge for materials and travel costs but not your labour.

          Comment


            #6
            Where do you declare the income from your managment fees. Are you registered as self employed as a Letting Agent and declaring the income form same to HMRC, I suspect not. If you have been claiming a Management Fee ( fixed % ) against your gross rental income then you are fooling yourself. Are you declaring the Management Fees as a single line item on your tax return or are you just declaring the bottom line.
            Regards Peter

            Comment

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