Budget changes to W and T allowance solution?
Just has a thought about the removal of the 10% Wear & Tear allowance as of 2016. Up to now we have just got the best deal going, but I have come across a strategy that may well alleviate at least some of this.
We did take the decision to only let unfurnished from then on, but include fridge, washer etc, but my thoughts are that as the insurance premium is fully deductible, now and after the changes, why not tag on breakdown cover which will be included in the premium so deductible, and if there is a problem this will cover it so avoiding a separate bill to be claimed.
Let tenants put their own furniture and beds in, the washer and fridge rarely go wrong, and if it does just put a new one in and claim it with receipt.
What are others thinking of doing to alleviate this problem?
Alan
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Member Since July 2014 - Comments: 104
2:30 PM, 24th August 2015, About 11 years ago
I only let my flats unfurnished but for most do put in fitted carpets and good quality vinyl in kitchens and bathrooms. This has all been claimed as an expense at the time, I’ve never bothered with the 10% claims. This tends to make the flats more attractive to prospective tenants.
John
Member Since July 2013 - Comments: 264 - Articles: 1
3:11 PM, 24th August 2015, About 11 years ago
up till now we have let them partly furnished and claimed the 10%. never have we spent even half of this so see this removal as a blow, but maybe it was too good to be true. will adapt and do the same as you now. Do you put washer and fridge in?
Member Since July 2014 - Comments: 104
3:30 PM, 24th August 2015, About 11 years ago
Hi Alan,
No, I do not supply cookers fridges or washing machines, though connections for these are standard in all flats.
Member Since July 2013 - Comments: 264 - Articles: 1
3:40 PM, 24th August 2015, About 11 years ago
interesting. in our case the oven and hob are integrated into the kitchen so we have to supply these. and we always have laminated floors, we put these in when the apartments were new in 2008 and these are still in and still ok, so saving a lot of hassle with changing carpets. Much more hygienic as well and if anything spills it is simply wiped up.
Member Since July 2014 - Comments: 104
4:01 PM, 24th August 2015, About 11 years ago
Reply to the comment left by “Alan Loughlin” at “24/08/2015 – 15:40“:
Hi Alan,
Living out in the sticks, mot tenants would not have experienced using a built-in oven. My philosophy has been to make the flats as attractive as possible whilst leaving tenants to supply their own white goods. Many tenants have their own anyway.
Member Since July 2013 - Comments: 1266 - Articles: 1
8:42 AM, 27th August 2015, About 11 years ago
Reply to the comment left by “Alan Loughlin” at “24/08/2015 – 15:11“:
The 10% is NOT allowable on part furnished property. See p2 of the document linked below (which is the consultation for its removal). How they define that I don’t know.
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/447461/150715_Wear_and_tear_condoc.pdf
Member Since July 2013 - Comments: 264 - Articles: 1
8:01 PM, 27th August 2015, About 11 years ago
is having an oven, hob, fridge, washer etc counted as furnished?
Member Since September 2013 - Comments: 374
7:51 PM, 29th August 2015, About 11 years ago
No.
(in a word. 🙂 )