Tax query on furnished letting (re abolition of wear and tear allowance)

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    Tax query on furnished letting (re abolition of wear and tear allowance)

    Hello all,

    I will be a first time landlord from next month onwards. My question is specifically relating to the abolition of wear and tear allowance for fully furnished property letting.

    In my case, I am moving out of my own home (due to work relocation), so I am becoming a landlord by chance not necessarily by choice All my furniture (sofas, tables, beds) are less than 3 year old and they still look quite new so I am thinking of letting out the property fully furnished with these.

    Now since I won't be able to claim wear & tear tax allowance, would it be better to buy new furnitures (and take my old ones with me to an unfurnished property)? I obviously am not very keen to let the tenants use the existing furniture if I am not getting any tax allowance for its use (especially they are all very good quality furniture).

    Or would I be able to allocate fixed cost for the existing items as I am just about to let out the property for the first time?

    Really appreciate your thoughts and help. And apologies in advance if a similar question has already been answered or if what I have said is with lack of knowledge!

    Many thanks

    I'd take the furniture with you and rent your property unfurnished.

    You can offset the cost of any new furniture you buy for your rental business against tax, but you still have to buy it, and, even if you're a high rate tax payer, you only save a percentage of the cost of the furniture in tax.
    When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
    Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).


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