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TonyTax
TonyTax, Tax Consultant
Category: Tax
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Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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I have a buy to let furnished property. In the year 2014/15

Resolved Question:

I have a buy to let furnished property. In the year 2014/15 I replaced the built in kitchen in the property as also the appliances - this cost me £6485 including the installation costs. Can I claim for this amount against the rental income I received in that year?
Submitted: 1 year ago.
Category: Tax
Expert:  TonyTax replied 1 year ago.
Hi.
I'll take a look at this and get back to you in a bit.
Expert:  TonyTax replied 1 year ago.
Hi again. Assuming the property is let on a fully furnished basis and given that the "replacement cost" option was withdrawn with effect from 6 April 2013 for free standing white goods, you can claim the 10% wear and tear allowance. If you have replaced integral features, you can claim the cost of those as a repair. HMRC may query the cost of major structural work and say it is a capital cost and not deductible from rental income. Take a look at the information in each of the links below for an idea of what you can claim in 2014/15 and what HMRC's definitions of a fully furnished property, white goods and integral features are: http://www.hmrc.gov.uk/manuals/pimmanual/pim3200.htm http://taxaid.org.uk/guides/information/rental-income-savings-income-and-pensioner-issues/property-owner/furnishings http://www.wsm.co.uk/blog/2014/08/renewals-allowance-the-new-furnishing-rules-for-landlords I hope this helps but let me know if you have any further questions.
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