New property rental business and what costs can I deduct?Make Text Bigger
I created my property rental business back in March this year and currently only have 1 property in the business (I have one in my own name, but that’s irrelevant for now). I’ll be buying another 8 to 10 in the foreseeable future.
I have an accountant and have followed all correct procedures etc. and all is going fine. The question I have is (which I’m yet to discuss with my accountant) when my tax is due, am I able to write off every business expense just like you would in a normal business?
For example, I’ve had to renovate the property, pay council tax, bills, buy a laptop, pay the mortgage, fund the business with a personal business loan etc.
Are all of these costs deductible against the rental profits I’ll have made? Or is it the same as when you’re renting as an individual, whereby it’s split by capital gains and rental profits? (i.e. I couldn’t deduct renovation costs from my rental profits, but I could deduct them from capital gains tax if I was to sell).
Hope this makes sense.
Thanks in advance.
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