14:01 PM, 28th October 2020, About 3 years ago
Hi everyone, I’ve had a Rent to Rent HMO in Liverpool since March 2013. I’m now passing it on to someone else, furnished, and tenanted, as I’ve had enough myself, but it is a good house.
When I first got the house, I obviously furnished it from top to bottom, at a lot of expense (it’s 10 bedrooms, 2 kitchens) and didn’t put the costs in my then tax return, as I know new items are not deductible, only replacing would be.
However, I would have claimed wear and tear allowance, up to it being scrapped in April 16.
I’m in the middle of working out how much I want from this person taking over, for the furniture, white goods etc. I won’t be asking for much, as it’s second hand, and quite old, but still perfectly fine.
My question is this, please. When this person transfers that money into my bank account, how will that be reflected in my tax return for 20/21 ?
Surely it won’t be “income/taxable”?
I’m pretty certain it’s no, but just want to check with you good people, please?