Furnished Properties - Wear and Tear Allowance
11th February 2016
From April 2016 the wear and tear allowance available on furnished properties will be abolished.
What Does This Mean
Currently, landlords of furnished properties can claim a deduction equal to 10% of rents each year as a wear and tear allowance. This allowance can be claimed whether any money is actually spent or not. After 5 April 2016 this allowance will no longer be available and this will be replaced by a deduction for costs actually incurred.
What Can I Do?
Planning points include delaying any expense on replacing furniture, white goods, household items and soft furnishings until after 5 April 2016.
If you would like to discuss your personal situation further, please contact Karen Oliver, Tax Manager on 01273 701200 or email firstname.lastname@example.org
Author: Karen Oliver, Tax Manager @ Plus Accounting, Brighton Accountants