Budget changes to W and T allowance solution?

by Readers Question

9:46 AM, 24th August 2015
About 3 years ago

Budget changes to W and T allowance solution?

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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.wear and tear

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



Comments

John Walker

14:30 PM, 24th August 2015
About 3 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

Alan Loughlin

15:11 PM, 24th August 2015
About 3 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?

John Walker

15:30 PM, 24th August 2015
About 3 years ago

Hi Alan,
No, I do not supply cookers fridges or washing machines, though connections for these are standard in all flats.

Alan Loughlin

15:40 PM, 24th August 2015
About 3 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.

John Walker

16:01 PM, 24th August 2015
About 3 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.

Puzzler

8:42 AM, 27th August 2015
About 3 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

Alan Loughlin

20:01 PM, 27th August 2015
About 3 years ago

is having an oven, hob, fridge, washer etc counted as furnished?

Badger

19:51 PM, 29th August 2015
About 3 years ago

No.

(in a word. 🙂 )


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