Tax rebate for eviction legal fees?
I have unfortunately incurred significant legal costs in the process of evicting a tenant.
My question is if I can claim a tax rebate for this expense?
Also, would this be considered an income or capital cost?
Many thanks
Rajesh
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Daughter remaining in property after tenant moves?
Member Since January 2020 - Comments: 102
11:13 AM, 4th January 2021, About 5 years ago
Eviction costs are specifically included as allowable expenses to be set against rental income in HMRC Property Income Manual 2120.
Member Since May 2014 - Comments: 40
11:31 AM, 4th January 2021, About 5 years ago
I would include them under Legal & Professional Fees, and have done so last year when I went through an eviction.
Member Since October 2013 - Comments: 1630 - Articles: 3
7:45 PM, 4th January 2021, About 5 years ago
Reply to the comment left by Olls63 at 04/01/2021 – 11:13
I agree, but not much use if the reason for the eviction is because you haven’t had any rental income!
Member Since July 2013 - Comments: 1434
6:43 PM, 11th January 2021, About 5 years ago
Reply to the comment left by NewYorkie at 04/01/2021 – 19:45
“not much use if the reason for the eviction is because you haven’t had any rental income!”
Any loss can be carried forward.
Member Since July 2013 - Comments: 305
3:47 PM, 18th January 2021, About 5 years ago
Reply to the comment left by Michael Barnes at 11/01/2021 – 18:43
Surprising how many people don’t realise this, useful as well when the property is vacant and you are still incurring costs, mortgage, insurance Council Tax etc.