Blanket Wear and Tear allowance will cease next year!

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    #1

    Blanket Wear and Tear allowance will cease next year!

    I just read in the guardian that from next year landlords will not get a general 10 per cent Waer and Tear allowance but can only claim for the cost of the items that actually sustain damage!

    "In a second raid on landlord tax breaks, property investors will also lose the right to automatically claim 10% of the rent against wear-and-tear costs. From April 2016, landlords will only be able to deduct costs they actually incur."

    Has anyone else heard this?

    http://www.theguardian.com/uk-news/2...f-limit-budgethttp://www.theguardian.com/uk-news/2...f-limit-budget
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    #2
    Blanket Wear and Tear allowance will cease next year!
    Presumably will only affect landlords that don't supply duvets?
    To save them chiming in, JPKeates, Theartfullodger, Boletus, Mindthegap, Macromia, Holy Cow & Ted.E.Bear think the opposite of me on almost every subject.

    Comment

      #3
      Little thing last week called The Budget.
      George is only abolishing the 10% Allowance for fully furnished properties, so more in line with 'unfurnished' tax rules.

      Comment

        #4
        Originally posted by greengirl1 View Post
        Has anyone else heard this?
        Yes, and lots of other things that affect me, last Wednesday and Thursday when I read the news.
        "I'm afraid I didn't do enough background checks apart from checking her identity on Facebook" - ANON

        What I say is based on my own experience and research - Please don't take as gospel without first checking the gospel yourself.

        Comment

          #5
          I suspect that most devotees of this forum are well aware of this. However, I am surprised that it hasn't been discussed more. It's likely to affect many more landlords than removing higher rate mortgage interest relief.

          Comment

            #6
            Blanket Rule from Blanket brain who introduced it.

            Comment

              #7
              I don't see this as a "raid" -- so long as Ls will actually be able to claim what they do spend (i.e. replace a washing machine -- claim for a washing machine, fit a kitchen claim for a kitchen ----- and not the recent nonsense of having perfectly legitimate expenses but not being able to claim them and having to increase rents instead to compensate).

              Comment

                #8
                Eminently sensible.

                Claim for what is spent.

                Comment

                  #9
                  I foresee an outbreak of LLs buying new kitchen and bathrooms and expensive sofas.
                  'Pause you who read this, and think for a moment of the long chain of iron or gold, of thorns or flowers, that would never have bound you, but for the formation fo the first link on one memorable day'. Charles Dickens, Great Expectations

                  Comment

                    #10
                    I let furnished and can easily see 10% of rent being spent on appliances, furniture some years. Keeps the rentable value up too!

                    Comment

                      #11
                      I suspect Gideon Osborne spotted to total tax avoided by claiming the 10% wear-'n-tear and & thought "let's abolish this & get more tax in". And didn't think it through. Last week I was looking at his desk in Dorneywood, his country residence, where he may have sat & thought it up..

                      I'm really not fussed about this change - and there is **** all any of us (or the LL assocs..) can realistically do to change policy and laws..
                      I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

                      Comment

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