Roof Repair Tax Allowance

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Roof Repair Tax Allowance

    I am considering letting my house that I recently purchased and have been living in and moving back to my parents. The house needs a flat roof replaced soon. If it get it replaced while the property is let are there any tax allowances? Can anyting be put in the tax form SA105 box 25?

    #2
    I suggest this cost is likely to be either capital (if the roof needed replacing when the property was purchased) or not deductible at all (as it relates to repairs arising in the period when you lived there).

    Comment


      #3
      "I recently purchased" How long have you lived there for. Not that it changes Telometer's comments but it may effect how the property is treated in the future. Regards Peter

      Comment


        #4
        I have only lived there a few months. It will be just over six months when I hopefully let it.

        If the roof is expected to last 10 years could I claim 1/10 of the cost after letting it for a year?

        Comment


          #5
          Originally posted by hasslefreeletting View Post
          I have only lived there a few months. It will be just over six months when I hopefully let it.

          If the roof is expected to last 10 years could I claim 1/10 of the cost after letting it for a year?
          It will be capital therefore. The roof was in a poor state when you bought it, and this will have been reflected in the price paid. Money spent on it now is improving the capital value of the house, thus the spend should be added to your base cost for CGT purposes when you come to sell the property.

          There will be no deductions to make against your income tax for this expenditure.
          I can take no responsibility for the use of any free comments given, any actions taken are the sole decision of the individual in question after consideration of my free comments.

          That also means I cannot share in any profits from any decisions made!

          Comment


            #6
            OP. I hope you are not thinking that the property will be deemed your PPR and exempting you from CGT in the last 3 years of ownership and letting relief. Moving in for 6 months then mocving out and back in with you parents gives you a very weak case to claim PPR in the future. Experience tells us that 15 to 18 months is fairly safe unless you have good reasons for leaving the property. Read HS283 on the HMRC web site about PPR and LR. Regards Peter

            Comment

            Latest Activity

            Collapse

            • Let Property Campaign.
              by armour
              Hi all,

              A friend of mine has been renting out a flat since 2004 and has not declared any of the income to HMRC in all that time.

              She wants to come clean and pay the accumulated income tax she owes by making a non-prompted disclosure using the Let Property Campaign system....
              13-09-2021, 13:45 PM
            • Reply to Let Property Campaign.
              by theartfullodger
              See..
              https://www.landlordzone.co.uk/news/...erty-campaign/

              Well done HMRC..

              None of my business, and obviously not in anyway a criticism of anybody, but If I had had a friend who I found out had been fiddling tax for 16 years they'd no longer be my friend.
              ...
              18-09-2021, 11:46 AM
            • Reply to Let Property Campaign.
              by armour
              Fair enough. Thanks for your advice. It is on cash basis.

              I guess it would only save her 50 odd quid anyway, maybe less than £80 once the fine and interest is added. I guess she'll have to swallow that.
              Once again, thanks JP and Gordon for your help.
              Chris
              18-09-2021, 09:07 AM
            • Overseas Landlords
              by Santa Fe
              I'm from UK but live overseas and recently discovered that I should be registered as an overseas landlord. I've done a bit of research on what it involves and it seems a bit of a headache - tenants have to fill out forms and pay tax from their rent direct to HMRC. If anyone here is registered as an...
              16-09-2021, 16:44 PM
            • Reply to Overseas Landlords
              by Santa Fe
              Boletus, thank you.
              17-09-2021, 18:37 PM
            • Reply to Let Property Campaign.
              by jpkeates
              armour - Sorry, I don't know.
              It might depend on whether you're accounting on the cash basis (in which case I suspect not) or the accrual basis (when it's possible).

              But it's not something I ever got involved with when the W&T allowance existed, and all of the practical guidance...
              17-09-2021, 11:43 AM
            • Reply to Let Property Campaign.
              by armour
              Thanks JP, that's clear. I'll put the bathroom in with the income tax then. I guess it's much of a muchness anyway as the associated reduction in interest and fine will probably equal out.

              I have one last question, if you'd be so kind.

              During the year she had to make the eviction,...
              17-09-2021, 09:18 AM
            • Reply to Overseas Landlords
              by boletus
              You fill out this form requesting to have rental income without deduction of tax and pay it yourself;

              https://www.gov.uk/government/public...dividuals-nrl1
              16-09-2021, 17:26 PM
            • Reply to Let Property Campaign.
              by jpkeates
              The 10% was for furnishings, so built in stuff should be ok to claim.
              The bathroom refurb depends on what was done if it was simply a replacement, it's maintenance, if it was a significant upgrade, it's likely to be part capital/part maintenance.
              If it's a new bathroom, it's probably ca...
              16-09-2021, 08:37 AM
            • Reply to Let Property Campaign.
              by armour
              Seems pretty clear there JP. I'll go ahead and alter my calculations

              One more thing, My friend had a bathroom refurb and a built in oven and hob replaced during the period when the flat was let furnished. I'm pretty sure that these costs can be detucted in addition to the 10% W&T, but...
              15-09-2021, 14:06 PM
            Working...
            X